Ignore income taxes in this problem.) Vander Company is considering purchasing a

Question

Ignore income taxes in this problem.) Vander Company is considering purchasing a machine that would cost $645,750 and have a useful life of 10 years. The machine would reduce cash operating costs by $86,100 per year. The machine would have a salvage value of $107,150 at the end of the project.

Ignore income taxes in this problem.) Vander Company is considering purchasing a machine that would cost $645,750 and have a useful life of 10 years. The machine would reduce cash operating costs by $86,100 per year. The machine would have a salvage value of $107,150 at the end of the project.

Explanation / Answer

6 years

(538600/86100)

6 years

(538600/86100)

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