Question
A 6-year project requires $6m initial capital expenditure, and expects $5m annual revenue, $2m annual COGS, $1.5m annual SG&A. Assume a straight-line depreciation method and
A 6-year project requires $6m initial capital expenditure, and expects $5m annual revenue, $2m annual COGS, $1.5m annual SG&A. Assume a straight-line depreciation method and effective tax rate of 40%. What is the annual EARNINGS from year 1 to 6?
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Options Futures And Other Derivatives
Authors: John C. Hull
8th Edition
0132164949, 9780132164948
