Compute the proposed investment net present value

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Question - OptiLux is considering investing in an automated manufacturing system. The system requires an initial investment of $4.3 million, has a 20-year life, and will have zero salvage value. If the system is implemented, the company will save $640,000 per year in direct labor costs. The company requires a 12% return from its investments. Compute the proposed investment's net present value.

Reference no: EM132945947

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