Quinn Industries is considering the purchase of a machine that would cost \$420,000 and would last for 9 years. At the end of 9 years, the machine…

Quinn Industries is considering the purchase of a machine that would cost \$420,000 and would last for 9 years. At the end of 9 years, the machine would have a salvage value of \$95,000. The machine would reduce labor and other costs by \$73,000 per year. The company requires a minimum pretax return of 12% on all investment projects. (Ignore income taxes.)

Required:Provide your Excel input and the final net present value amount you calculated.  (If a variable is not used in the calculation, input a zero (0). Omit the “\$” and “%” signs in your response.) Round your answer to the nearest dollar and use a minus sign for negative numbers.

Excel input:

Rate

%   Nper

PMT

\$     PV

\$     FV\$     Net Present Value (NPV)\$

Required:Input the required variables and the computed internal rate of return.  (If a variable is not used in the calculation, input a zero (0). Omit the “\$” and “%” signs in your response.) Round your answer to one decimal place and use a minus sign for negative numbers.

Excel input:

Rate

%

Nper

PMT\$

PV\$

FV\$

Internal Rate of Return (IRR)    %

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Quinn Industries is considering the purchase of a machine that would cost \$420,000 and would last for 9 years. At the end of 9 years, the machine… was first posted on May 10, 2022 at 7:21 am.