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2 pts Dog Up! Franks is looking at a new sausage system with an installed cost of $913,732. This cost will be depreciated straight-line to
2 pts Dog Up! Franks is looking at a new sausage system with an installed cost of $913,732. This cost will be depreciated straight-line to 66,906 over the project's 7-year life, at the end of which the sausage system can be scrapped for $94,206. The sausage system will save the firm $214,159 per year in pretax operating costs, and the system requires an initial investment in net working capital of $76,713. If the tax rate is 0.28 and the discount rate is 0.11, what is the total cash flow in year 7? (Make sure you enter the number with the appropriate +/- sign)
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