Discuss what is the net present value of the machine

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The Rock Company plans on buying a new machine for $57,231 that will have an estimated useful life of 3 years. The expected cash inflow is $23,755 annually. The cost of capital is 12%. Given that the present value of $1 after 3 periods at 12% is 0.71178, and the present value of an annuity of $1 for 3 periods at 12% is 2.40183, what is the net present value of the machine?

Reference no: EM131780186

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