What is the total net cashflow after year 3

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Reference no: EM133347070

Question: Rambus Inc. would like to purchase a production machine for $325,000. The machine is expected to have a life of three years,
and a salvage value of $50,000. Annual maintenance costs will total $12,500. Annual savings are predicted to be $112,500. The company's required rate of return is 12%.

What is the total net cashflow after year 3?

Reference no: EM133347070

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