Attempts Rome a Caspian Sea Drinks is considering the purchase of a plum juicer -...

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Attempts Rome a Caspian Sea Drinks is considering the purchase of a plum juicer - the PJXS. There is no planned increase in production The PJXS will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJXs will cost $1.81 million fully installed and has a 10 year life. It will be depreciated to a book value of $155,275.00 and sold for that amount in year 10. b. The Engineering Department spent $40,432.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21.278.00. d. The PuXs will reduce operating costs by S454,203.00 per year. 6. CSD's marginal tax rate is 29.00% 1. CSD is 61.00% equity-financed. g. CSD's 11.00-year, semi-annual pay, 5.55% coupon bond sells for $1,047.00 h. CSD's stock currently has a market value of $24.91 and Mr. Bensen believes the market estimates that dividends will grow at 3.68% forever. Next year's dividend is projected to be $1.67. Submit Answer format: Currency: Round to: 2 decimal Places

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