Data for Federated Products Are Compute the Net Present Value of the Machine Assuming the
\text

question 31

Multiple Choice

Data for Federated Products are: $$\begin{array} { l r } \text { Investment in new machinery } & \$ 19000 \\\text { Net annual cash inflows } & 2800 \\\text { Salvage value of the new machinery } & 6000 \\\text { Life of the new machinery } & 10 \text { years }\end{array}$$ Compute the net present value of the machine assuming the cost of capital is 8% ignore taxes.

• A)$5134
• B)$212)
• C)$212
• D)$2567

---

Definitions:

Electronic Commerce

The buying and selling of goods and services through the internet or other electronic systems.

Www.Amazon.Com

An online marketplace known for facilitating the buying and selling of a wide variety of goods and services.

Marketplace

A physical or virtual venue where goods and services are exchanged, including everything from retail stores to online platforms.

Monopolistic Competition

A market structure characterized by many firms offering products that are similar but not perfect substitutes, allowing for some degree of market power.