What is the net present value of this machine at a discount

Reference no: EM133377579

Question: Dolittle Enterprises needs to spend $678,500 today to purchase a new machine. This machine will generate cash flows of $498,000 the first year and $354,000 the second year. After 2 years, the machine will be worthless. What is the net present value of this machine at a discount rate of 15.25 percent?

Reference no: EM133377579

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