question archive Check my work Required information Use the following information for the Quick Study below
Check my work Required information Use the following information for the Quick Study below
Subject:AccountingPrice: Bought3
Check my work Required information Use the following information for the Quick Study below. (Algo) (The following information applies to the questions displayed below) Following is information on an investment in a manutacturing machine. The machine has zero salvage value. The company requires a 9% return from its investments Initial investment $(340,000) Net cash flows: 175.000 Year 2 89,000 Year 1 128.000 Year 3 QS 24-20 (Algo) Net present value with uneven cash flows and salvage value LO P3 Assume that instead of a zero salvage value, as shown above, the machine has a salvage value of $22.500 at the end of its three-year life. Compute the machine's net present value of $1. EV_of $1. PVA S and EVA (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) QS 24-20 (Algo) Net present value with uneven cash flows and salvage value LO P3 Assume that instead of a zero salvage value, as shown above, the machine has a salvage value of $22,500 at the end of its three-year life Compute the machine's net present Value (PV of $1. FV of $1. IPVA 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) Cash Flow Present Value Year 1 $ Present Alue Factor 0.9174 0.8417 0.7722 $ 175,000 128,000 89.000 22,500 414,500 160.545 107,738 68,726 Year 2 Year 3 Year 3 salvage value Totals Initial investment Net present value $ $ 337.000 (340,000) (2,991) S
