5. A machine costs 150,000 and will have a scrap value of 10,000 when retired at the end of 15 money is worth 4%, find the capitalized cost of the machine. a. 423,397.85 b. 793,324.85 c. 397,423.85

EBK CONTEMPORARY FINANCIAL MANAGEMENT
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ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter9: Capital Budgeting And Cash Flow Analysis
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5. A machine costs 150,000 and will have a scrap value of 10,000 when retired at the end of 15 years. If
money is worth 4%, find the capitalized cost of the machine.
a. 423,397.85
b. 793,324.85
c. 397,423.85
d. 324,793.85
Transcribed Image Text:5. A machine costs 150,000 and will have a scrap value of 10,000 when retired at the end of 15 years. If money is worth 4%, find the capitalized cost of the machine. a. 423,397.85 b. 793,324.85 c. 397,423.85 d. 324,793.85
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