Assuming the companys discount rate is 10 what is the

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Stratford Company purchased a machine with an estimated useful life of seven years. The machine will generate cash inflows of $9,000 each year over the next seven years. If the machine has no salvage value at the end of seven years, and assuming the company"s discount rate is 10%, what is the purchase price of the machine if the net present value of the investment is $17,000?

A) $43,812

B) $26,812

C) $17,000

D) $22,195

Reference no: EM13567070

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