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A project with a life of 9 has an initial fixed asset investment of $25,200, an initial NWC investment of $2,400, and an annual OCF

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A project with a life of 9 has an initial fixed asset investment of $25,200, an initial NWC investment of $2,400, and an annual OCF of -$38,400. The fixed asset is fully depreciated over the life of the project and has no salvage value. If the required return is 14 percent, what is the project's equivalent annual cost, or EAC? B Quad Enterprises is considering a new 4-year expansion project that requires an initial fixed asset investment of $6.264 million. The fixed asset will be depreciated straight-line to zero over its 4-year tax life, after which time it will be worthless. The project is estimated to generate $5,568,000 in annual sales, with costs of $2,227,200. If the tax rate is 25 percent, what is the OCF for this project

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