Which machine would you invest in

Reference no: EM133655007

Question: Bernie Hock Limited is deciding between the purchase of two machines which will return the amounts listed below over five years. Both machines cost $100,000 and will fully depreciate over the five years. Machine 1 2 3 4 5 1 $31,000 $29,000 $35,000 $32,000 $41,000 2 $59,000 $52,000 $18,000 $11,000 $ 5,000 Using a discounted rate of return of 10% which machine would you invest in?

Reference no: EM133655007

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