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A project with a life of 11 has an initial fixed asset investment of $35,280, an initial NWC investment of $3,360, and an annual OCF
| A project with a life of 11 has an initial fixed asset investment of $35,280, an initial NWC investment of $3,360, and an annual OCF of $53,760. The fixed asset is fully depreciated over the life of the project and has no salvage value. |
| If the required return is 11 percent, what is the project's equivalent annual cost, or EAC? |
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Financial Management An Introduction
Authors: Jim McMenamin
1st Edition
0415181623, 9780415181624
