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Correct the power of Merit in the come acted the tax con tow true 0 MOOD 55.000 5.000 17.000 for your though the mercato Accept

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Correct the power of Merit in the come acted the tax con tow true 0 MOOD 55.000 5.000 17.000 for your though the mercato Accept year 2005. for for your OfS002, Paco worden met een 00 Plan Company is contemplating the purchme of a new piece of equipment for 544,000. Plant is in the 40% income tax bracket. Predicted annual after-tax cash inflows from this investment are $ $10.000 and 57000 for years through 5, respectively. The firm uses straight line depreciation with no residual value at the end of five years Assume that the murde rate for accepting new capital investment projects for the company is 4% after tax. (Note: PV ST factors for 4% are as follows: for year 1962. for year 2-0.925, for year 0855. for year 5-0.822, the PV annuty factor for 4% 5 years 4452) At an after-tax discount rate of the estimated net present value (NPV) of the proposed investment is frounded to the ne Choice 6100 35.000 o o O an at for $44,000. Plant is in the 40% income tax bracket Predicted annual after-tax cash inflows from this investment are $18,000, S14,000, $5,000, ght-line depreciation with no residual value at the end of five years. for the company is 4%, after tax. (Nota: PV 51 factors for 4% are as follows for year 1 = 0.962 for year 2-0.925, for year 3 = 0.889, for year 4 = at an after-tax discount rate of 4%the estimated net present value (NPV) of the proposed investment is founded to the nearest hundred dollars)

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