chine's net present value. (PV of $1. EV of $1. PVA of $1. all present value factors to 4 decimal places. Round p Net Cash Flow $ 150,000 146,000 117,000 0 Present Value Factor Present Value of Net Cash Flows $ $ 0 0
chine's net present value. (PV of $1. EV of $1. PVA of $1. all present value factors to 4 decimal places. Round p Net Cash Flow $ 150,000 146,000 117,000 0 Present Value Factor Present Value of Net Cash Flows $ $ 0 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Topic Video
Question
![Following is information on an investment in a manufacturing machine. The machine has zero salvage value. The
company requires a 6% return from its investments.
$ (260,000)
150,000
146,000
117,000
Initial investment
Net cash flows:
Year 1
Year 2
Year 3
Compute this machine's net present value. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables
provided. Round all present value factors to 4 decimal places. Round present value amounts to the nearest dollar.)
Year 1
Year 2
Year 3
Totals
Initial investment
Net present value
Net Cash Flow
$
0
Present Value
Factor
Present Value of Net
Cash Flows
$
$
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F003942d8-6e99-4cc0-abfb-a56db4ef6814%2Fbf5459a7-2de7-4cb6-aaa5-e4a1f04576cd%2F4pxh74r_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Following is information on an investment in a manufacturing machine. The machine has zero salvage value. The
company requires a 6% return from its investments.
$ (260,000)
150,000
146,000
117,000
Initial investment
Net cash flows:
Year 1
Year 2
Year 3
Compute this machine's net present value. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables
provided. Round all present value factors to 4 decimal places. Round present value amounts to the nearest dollar.)
Year 1
Year 2
Year 3
Totals
Initial investment
Net present value
Net Cash Flow
$
0
Present Value
Factor
Present Value of Net
Cash Flows
$
$
0
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