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Consider an asset that costs $202,400 and is depreciated straight-line to zero over its 13-year tax life. The asset is to be used in a

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Consider an asset that costs $202,400 and is depreciated straight-line to zero over its 13-year tax life. The asset is to be used in a 6-year project, at the end of the project, the asset can be sold for $25,300 If the relevant tax rate is 24 percent, what is the aftertax cash flow from the sale of this asset? 16 Multiple Choice $45,384.31 $47,653.53 $43,115.09 $371,416 00 A project with a life of 7 has an initial fixed asset investment of $25,620, an initial NWC investment of $2,440, and an annual OCF of -$39,040. The fixed asset is fully depreciated over the life of the project and has no salvage value. If the required return is 10 percent, what is the project's equivalent annual cost, or EAC? Multiple Choice $-30,981.57 $-42,319.16 0 $-37,864.52 $-44,546.49

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