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Deoderants Corp is considering a new project of building a shoe facorty, initial investment is 20,000 and will last for 4 years with depreciation straight
Deoderants Corp is considering a new project of building a shoe facorty, initial investment is 20,000 and will last for 4 years with depreciation straight line book value of 0. salvage value = $1000 at t = 4, inventories and accounts payable will rise by 1500 and 1000 immeditaly with AR riding at the year of end 1 by 2000. All working capital components teturn to orginsl values at the end of the projects life. if companys corprate tax rate is 34% what is the following?
A. after tax salvage value for year 4
B. value of depreciate in each year 1-4
C. net change in working captial in year 0
D. net change in working captial in year 1
E. net chnage in working captial in year 4?
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