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Cameron Industries is purchasing a new chemical vapor depositor in order to make silicon chips. It will cost $ 5 , 0 0 0 ,
Cameron Industries is purchasing a new chemical vapor depositor in order to make silicon chips. It will cost
$ to buy the machine and $ to have it delivered and installed. Building a clean room in the plant
for the machine will cost an additional $ million. The machine is expected to raise gross profits by $
per year, starting at the end of the first year, with associated costs of $ million for each of those years. The
machine is expected to have a working life of six years and will be depreciated over those six years. The marginal
tax rate is What are the incremental free cash flows associated with the new machine in year
A $
B $
C $
D $
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