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Business, 18.07.2020 23:01 telonfrippp5i9i5

Old Southwest Canning Co. has determined that any one of four machines can be used in its chilicanning operation. The cost of the machines are estimated below, and all machines have a 5-year life. If the minimum attractive rate of return is 25% per year, determine which machine should be selected on the basis of a rate of return analysis. Machine First Cost, $ AOC, $
1 βˆ’28,000 βˆ’20,000
2 βˆ’51,000 βˆ’12,000
3 βˆ’32,000 βˆ’19,000
4 βˆ’33,000 βˆ’18,000

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