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Axillar Beauty Products corporation is considering the Production of a new conditioning shampoo that will require the purchase of new mixing machinery. The machinery will

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Axillar Beauty Products corporation is considering the Production of a new conditioning shampoo that will require the purchase of new mixing machinery. The machinery will cost $375,000 is expected to have a useful life of 10 years, and is expected to have salvage Value of $50,000 at the end of 10 years. The machinery will also need a $35,000 overhaul at the end of year 6. A $ 40,000 increase in working will be needed for this investment project. The working capital will be released at the end of the 10 The new shampoo is expected to generate new cash inflows of $85,000 Per year for each of the 10 Axillar's discount rate is 16%

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