The company ABC AS is considering investing in a 3D printer. The acquisition takes place on 31.12 year 0The investment will have the assumptions described in the table on the left.Show the investment's annual cash flow in a table of the number of life years.Purchase of 3D2 000 000Freight in connection with the investment75 000Adjustments in connection with the investment30 000Increased income per year275 000Fixed payable costs per year60 000Distribution value at the end of the year 5200 000Lifetime (number of years)5

Introduction In capital budgeting we should identify what is capital inflow and outflow and discount…

Answered: The company ABC AS is considering…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The company ABC AS is considering investing in a 3D printer. The acquisition takes place on 31.12 year 0

The investment will have the assumptions described in the table on the left.

Show the investment's annual cash flow in a table of the number of life years.

Purchase of 3D	2 000 000
Freight in connection with the investment	75 000
Adjustments in connection with the investment	30 000
Increased income per year	275 000
Fixed payable costs per year	60 000
Distribution value at the end of the year 5	200 000
Lifetime (number of years)	5

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