(Ignore income taxes in this problem. ) Paragas, Inc. , is considering the purch

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(Ignore income taxes in this problem. ) Paragas, Inc. , is considering the purchase of a machine that would cost $370,000 and would last for 8 years. At the end of 8 years, the machine would have a salvage value of $52,000. The machine would reduce labor and other costs by $96,000 per year. Additional working capital of $4,000 would be needed immediately. All of this working capital would be recovered at the end of the life of the machine. The company requires a minimum pretax return of 19% on all investment projects. The net present value of the proposed project is closest to: $19,528 $78,530 $9,584 $22,532 (Ignore income taxes in this problem. ) How much would you have to invest today in the bank at an interest rate of 8% to have an annuity of $4,800 per year for 7 years, with nothing left in the bank at the end of the 7 years? Select the amount below that is closest to your answer. $2,798 $24,989 $33,600 $31,111

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