Braxton Manufacturing is considering the purchase of new computerized equipment.The machine costs $75,000 and would generate $22,000 in annual cost savings over its 5-year life.At the end of 5 years,the equipment would have a $5,000 salvage value.Braxton's required rate of return is 12%.The machine's net present value is
A) $695
B) $4,305
C) $7,143
D) $79,306
Correct Answer:
Verified
Q84: Before you can calculate the present value
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