(Ignore income taxes in this problem. )The Gage Company purchased a machine which will be depreciated by the straight-line method over its estimated 6 year life.The machine will have no salvage value.It will generate cash inflows of $7,000 each year over the next 6 years.Gage Company's required rate of return is 14%.If the net present value of this investment is $12,016,the purchase price of the machine was:

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The Answer of (Ignore income taxes in this problem. )The Gage Company purchased a machine which will be depreciated by the straight-line method over its estimated 6 year life.The machine will have no salvage value.It will generate cash inflows of $7,000 each year over the next 6 years.Gage Company's required rate of return is 14%.If the net present value of this investment is $12,016,the purchase price of the machine was:

(Ignore Income Taxes in This Problem