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Background: FX is looking to expand their operations to add a second product line capable of producing 1.25 Million units per year. The total estimated
Background:
FX is looking to expand their operations to add a second product line capable of producing 1.25 Million units per year. The total estimated investment cost for the new line is $25 Million, with a salvage value equal to 20% of the purchase price at the end of the 6-year project life. The annual expected sales volume is shown below, in thousands of units:
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