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E Question Help Problem 7-29 (algorithmic) Your company has just signed a three-year nonrenewable contract with the city of New Orleans for earthmoving work. You
E Question Help Problem 7-29 (algorithmic) Your company has just signed a three-year nonrenewable contract with the city of New Orleans for earthmoving work. You are investigating the purchase of heavy construction equipment for this job. The equipment costs $198,000 and qualifies for five-year MACRS depreciation. At the end of the three-year contract, you expect to be able to sell the equipment for $71,000. If the projected operating expense for the equipment is $68,000 per year, what is the after-tax equivalent uniform annual cost (EUAC) of owning and operating this equipment? The effective income tax rate is 43%, and the after-tax MARR is 14% per year. E Click the icon to view the GDs Recovery Rates (rk) for the 5-year property class E Click the icon to view the interest and annuity table for discrete compounding when the MARR is 14% per year The after-tax equivalent uniform annual cost is (Round to the nearest dollar.)
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