Ricky's Heavy Metal Milling is planning on investing in a new machine for precision drilling of special metal plates. They expect to receive a new government contract that will earn them up to $500 per hour, and the machine can run 3,000 hours per year. The machine has an expected life span of five years. If the interest rate is 3 percent, what is the net present value? What is the net present value if the interest rate is not 3 percent, but 6 percent? What happens to the net present value when interest rates rise?

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The Answer of Ricky's Heavy Metal Milling is planning on investing in a new machine for precision drilling of special metal plates. They expect to receive a new government contract that will earn them up to $500 per hour, and the machine can run 3,000 hours per year. The machine has an expected life span of five years. If the interest rate is 3 percent, what is the net present value? What is the net present value if the interest rate is not 3 percent, but 6 percent? What happens to the net present value when interest rates rise?

Ricky's Heavy Metal Milling Is Planning on Investing in a New