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8 You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $72,500, has a 5-year life, and has an annual OCF (aftertax) of $11,800
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You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $72,500, has a 5-year life, and has an annual OCF (aftertax) of $11,800 per year. The Keebler CookieMunster costs $99,000, has a 7 -year life, and has an annual OCF (after-tax) of $9,800 peryear. If your discount rate is 12 percent, what is each machine's EAC? (Negotive omounts should be indicated by a minus sign. Round your answers to 2 decimal places.) Step by Step Solution
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