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4 D Question 4 12 pts 13% to Johnson Controls is thinking of funding a project that would have a an 8 year life and
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D Question 4 12 pts 13% to Johnson Controls is thinking of funding a project that would have a an 8 year life and require an investment of $1,500,000 in equipment. There will be no salvage value of the equipment. Johnson Controls uses a discount rate of analyze their investments. The net income for the project is expected to be as follows: Sales $2,000,000 Expenses Materials $620,000 Maintenance $280,000 Deprec on $150,000 equip Labor $750.000 Total Expenses $1,800,000 Net Income $200.000 Should the company fund this project? Show your work. Table Edit ViowInsert Format Tools Paragraph 1201 Step by Step Solution
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