The Herb Company acquired a new machine for ($ 16,000) which it will depreciate on a straight-line

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The Herb Company acquired a new machine for \(\$ 16,000\) which it will depreciate on a straight-line basis over a ten year period. A full year's depreciation was taken in the year of acquisition. The accounting (book value) rate of return is expected to be 12 percent on the initial increase in required investment. If we assume a uniform cash inflow, what will be the annual cash flow from operations, net of income taxes?

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