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1 - Mary O'Leary's company ships fine wool garments from County Cork, Ireland. Five years ago she purchased some new automated packing equipment having a

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1 - Mary O'Leary's company ships fine wool garments from County Cork, Ireland. Five years ago she purchased some new automated packing equipment having a first cost of $125,000 and a MACRS class life of 7 years. The annual costs for operating, maintenance, and insurance, as well as market value data for each year of the equipment's 10 -year useful life are as follows. Assume an after-tax MARR of 25% and a tax rate of 35%. a) What is the before-tax marginal cost for the 10 years of the equipment? ( 2 points) b) Calculate the After-Tax Cash Flow associated with the equipment using MACRS as depreciation method. (1 point) c) (Bonus) What is the EUAW of the After-Tax Cash flow? (1 point)

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