Compute the proposed investment net present value

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Question - Bridgeport Company is proposing to spend $220,000 to purchase a machine that will provide annual cash flows of $42,000 over a 10-year period. The appropriate present value factor for 10 periods is 5.65022. Compute the proposed investment's net present value. Indicate whether the investment should be made by Bridgeport Company.

Reference no: EM133080197

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