Touche Manufacturing is considering a rearrangement of its manufacturing operations. A consultant estimates that the rearrangement should result in after-tax cash savings of $6,000 the first year, $17,000 for the next two years, and $19,000 for the next two years. Assuming a 9% discount rate, calculate the total present value of the cash flows. (FV of $1, PV of $1, FVA of $1, and PVA of $1). (Use appropriate factor(s) from the tables provided. Round final answer to the nearest whole dollar.) Total PV of cash flows

Touche Manufacturing is considering a rearrangement of its manufacturing operations. A consultant estimates that the rearrangement should result in after-tax cash savings of $6,000 the first year, $17,000 for the next two years, and $19,000 for the next two years. Assuming a 9% discount rate, calculate the total present value of the cash flows. (FV of $1, PV of $1, FVA of $1, and PVA of $1). (Use appropriate factor(s) from the tables provided. Round final answer to the nearest whole dollar.) Total PV of cash flows

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Description: Hanshaben Touche Manufacturing is considering a rearrangement of its manufacturing operations. A consultant estimates that the rearrangementshould result in after-tax cash savings of $6,000 the first year, $17,000 for the next two years, and $19,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 5PA: Falkland, Inc., is considering the purchase of a patent that has a cost of $50,000 and an estimated...

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