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Bottoms Up Diaper Service is considering the purchase of a new industrial washer. It can purchase the washer for $ 1 , 8 0 0

Bottoms Up Diaper Service is considering the purchase of a new industrial washer. It can purchase the washer for $1,800and sell its old washer for $600.The new washer will last for 6years and save $500a year in expenses. The opportunity cost of capital is 19%,and the firms tax rate is 21%.
a)If the firm uses straight-line depreciation over a 6-year life, what are the cash flows of the project in years 0to 6?The new washer will have zero salvage value after 6years, and the old washer is fully depreciated.
b)What is project NPV?
c)What is NPV if the firm investment is entitled to immediate 100%bonus depreciation?

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