4.A corporation is considering purchasing a machine that will save $210,000 per year before taxes. The cost of operating the machine, including maintenance, is $60,000 per year. The machine, costing $120,000, will be needed for four years after which it will have a salvage value of $16,000. If the firm wants a 12% rate of return before taxes, what is the net present value of the cash flows generated from this machine? Ans. P= $465,770.69

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A: The Net Present Value: The net present value or the NPV is a technique used to assess the…

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A: We will use the concept of time value of money here. As per the concept of time value of money the…

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A: As per Bartleby guidelines, If multiple questions are posted, only the first 1 question will be…

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A: Mortgage/ Borrowings:  Borrowings are the loan which is taken by the individual to meet its…

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A: IRR may be calculated using the following excel formula

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A: Payment in 1 year (P1) = $360 n = 1 year r = 9%

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