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Clean Techno Ltd is evaluating an investment in a machine that costs $100,000. The machine is to be fully depreciated over five years to zero
Clean Techno Ltd is evaluating an investment in a machine that costs $100,000. The machine is to be fully depreciated over five years to zero value using the straight-line depreciation method. The firm believes that it can sell the machine for $10,000 at the end of five years. Given the firm need an additional net working capital of $5,000 and the firms tax rate is 10%, what is the terminal cash flow (TCF) of the investment?
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