Answer:
If I bougth the Machine at 14% interest.
This purchase is not justified
Depreciation expenses and credit interest are greater than the income generated
Explanation:
Machine 360000 Â Â
Adittional cost 20000 Â Â
Final Cost 380000 Â Â
Salvage Value 73000 Â Â
Machine value for depreciation 307000 Â Â
 Â
 Â
year 1 307000 61400 245600 Â
year 2 245600 61400 184200 Â
year 3 184200 61400 122800 Â
year 4 122800 61400 61400 Â
year 5 61400 61400 0 Â
 Â
 Â
Period Payment Capital Interest Loan
 Â
  360000
1 104.862 54.462 50.400 305.538
2 104.862 62.087 42.775 243.451
3 104.862 70.779 34.083 172.672
4 104.862 80.688 24.174 91.984
5 104.862 91.984 12.878 0
 Â
Depreciation 307000 Â Â
Interes     164.310  Â
Expenses 471.310 Â Â
 Â
Revenue    430.000  Â