Book int rences Required 1 Required 2 Required 3 Determine income and net cash flow for each year of this machine's life. Annual amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation Machinery Selling, general, and administrative expenses Income Net cash flow Numerator: Required 1 Required 2 Required 3 Required 3 Years 1-4 Salvage value, year 4 Total Net present value Complete this question by entering your answers in the tabs below. Payback Period 1 Required 1 Required 2 Compute this machine's payback period, assuming that cash flows occur evenly throughout each year. Denominator: < Required 1 $ Net Cash Flows $ Income < Required 2 1,840,000 1,488,000 115,000 183,100 53,900 $ Required 2 > Present Value at 7% Cash Flow Required 3 Compute net present value for this machine using a discount rate of 7%. Note: Do not round intermediate calculations. Negative amounts should be entered with a minus sign. Round your present value factor to 4 decimals and final answers to the nearest whole dollar. Payback Period 0 > 0 Present Value of Net Cash Flows $ 0 0
Book int rences Required 1 Required 2 Required 3 Determine income and net cash flow for each year of this machine's life. Annual amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation Machinery Selling, general, and administrative expenses Income Net cash flow Numerator: Required 1 Required 2 Required 3 Required 3 Years 1-4 Salvage value, year 4 Total Net present value Complete this question by entering your answers in the tabs below. Payback Period 1 Required 1 Required 2 Compute this machine's payback period, assuming that cash flows occur evenly throughout each year. Denominator: < Required 1 $ Net Cash Flows $ Income < Required 2 1,840,000 1,488,000 115,000 183,100 53,900 $ Required 2 > Present Value at 7% Cash Flow Required 3 Compute net present value for this machine using a discount rate of 7%. Note: Do not round intermediate calculations. Negative amounts should be entered with a minus sign. Round your present value factor to 4 decimals and final answers to the nearest whole dollar. Payback Period 0 > 0 Present Value of Net Cash Flows $ 0 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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