Newport Corporation is considering the purchase of a new piece of equipment. The cost savings...
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Newport Corporation is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net cash flow of $207,000. The equipment will have an initial cost of $991,000 and a 6-year life with no salvage value, If the company's cost of capital is 7\%, what is the net present value? (Future Value of \$1, Present Value of \$1, Future Value Annuity of \$1, Present Value Annulty of \$1) Note: Use appropriate factor from the PV tables. Round your final answer to the nearest dollar amount. Multiple Choice $(4,335) $4,335 $330,333 $0
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