Question
A new operating system for an existing machine is expected to cost $735,000 and have a useful life of six years. The system yields an
A new operating system for an existing machine is expected to cost $735,000 and have a useful life of six years. The system yields an incremental after-tax income of $215,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $75,000.
A machine costs $510,000, has a $46,000 salvage value, is expected to last eight years, and will generate an after-tax income of $125,000 per year after straight-line depreciation.
it is not 4.2305 and .5364 for PV factor, i've already looked up on chegg and its not it.
A new operating system for an existing machine is expected to cost $735,000 and have a useful life of six years yields an incremental after-tax income of $215,000 each year after deducting its straight-line depreciation. The salvage value of the system is $75,000. (Round your answers to the nearest whole dollar.) of $125,000 per year after straight-line depreciation. (Round your answers to the nearest whole dollar.)Step by Step Solution
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