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A corporation is considering a 3 year expansion project that requires an initial fixed asset investment of 2.4 million. The fixed asset will depreciate straight
A corporation is considering a 3 year expansion project that requires an initial fixed asset investment of 2.4 million. The fixed asset will depreciate straight line to zero over three year tax life and become worthless. the project is estimated to generate 2,050,000 in annual sales, with costs of 950,000. Tax rate is 35% and the required return is 12%. What is project's NPV
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