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Charles River Mfg is considering a Four year project to improve efficiency: purchase a new machine for $ 4 5 0 , 0 0 0
Charles River Mfg is considering a Four year project to improve efficiency: purchase a new machine for $ which results in $ in annual pretax cost savings. The machine falls into the fiveyear MACRS class. It is anticipated that the machine can be sold at a price of $ at the end of the four year project. At the outset, the project will require an investment of $ The tax rate for Charles River Mfg is
MACRS table is shown below:
tableYearDepreciation
The OCF for year is $ Sc for year is $ and for year is $
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