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Barrel Manufacturing plans to purchase new manufacturing equipment to use in the production of wooden barrels. Barrel Manufacturing estimates it will save $4200 during each

Barrel Manufacturing plans to purchase new manufacturing equipment to use in the production of wooden barrels. Barrel Manufacturing estimates it will save $4200 during each year of the equipments ten year life. Barrels cost of capital is 8% and its tax rate is 30%.

Calculate the after-tax net present value of the estimated cash flows.

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