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11.25 An entity invests in a machine that costs $20,000, generates an income of $4,000 per year and costs $500 per year to operate for
11.25 An entity invests in a machine that costs $20,000, generates an income of $4,000 per year and costs $500 per year to operate for 10 years Neglecting depreciation and salvage value, what is the effective after-tax present worth? Assume inter- est rate is 8 percent and the entity pays 33 percent in federal tax and 8 percent in state tax
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