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What is the NPV of the project

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Question - Paul Restaurant is considering the purchase of a $9,600 soufflé maker. The soufflé maker has an economic life of 5 years and will be fully depreciated by the straight-line method. The machine will produce 1,900 soufflés per year, with each costing $2.80 to make and priced at $4.75. The discount rate is 12 percent and the tax rate is 25 percent. What is the NPV of the project?

Reference no: EM132857098

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