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A corporation expects to receive $10,000 each year for 8 years from the sale of a product. There will be an initial investment of $40,000.
A corporation expects to receive $10,000 each year for 8 years from the sale of a product. There will be an initial investment of $40,000. Annual expenses will be $3,707 per year. Assume straight-line depreciation, an 8-year useful life and no salvage value. Use a 46% income tax rate. Determine the projected after-tax rate of return
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