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Problem:

Kingston, Inc. management is considering purchasing a new machine at a cost of $4,431,539. They expect this equipment to produce cash flows of $868,800, $829,089, $867,612, $1,001,754, $1,214,173, and $1,176,368 over the next six years.

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Question: If the appropriate discount rate is 15 percent what is the NPV of this investment?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91169142

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