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A project requires purchase of machinery for $150,000. The project generates an annual after-tax operating income of $10,000. The machines expected useful life is 8

A project requires purchase of machinery for $150,000. The project generates an annual after-tax operating income of $10,000. The machines expected useful life is 8 years with no salvage value at the end of its useful life. The required return for the project is 10%. The CCA rate for the machines is 20%. The companys marginal income tax rate is 40%. What is the PV of after-tax cash flows?

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