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Faaaaasttt please Time left 0:47:24 ADAM COMPANY HAS AN OLD MACHINE THAT COST WHEN PURCHASED $120000 , THE FIRM DEPRECIATION METHOD IS MACRS FOR 3
Faaaaasttt please
Time left 0:47:24 ADAM COMPANY HAS AN OLD MACHINE THAT COST WHEN PURCHASED $120000 , THE FIRM DEPRECIATION METHOD IS MACRS FOR 3 YEARS (PERCENTAGED Y1=33% Y2 45%,Y3=15% Y4=7%) THE EXPECTED SELLING PRICE OF THE OLD MACHINE IS 60000 ADAM CAN BUY A NEW MACHINE WITH PRICE $160000 AND INSTALLATION COST OF $7000 AND SHIPPMENT $ 4000 IT WILL ALSO BE DEPRECIATED USING MACRS . THE MACHINE REQUIRES RECEIVABLES TO INCREASE 12300 INVENTORY 17000 AND ACCOUNT PAYABLE WILL INCREASE BY $16000 REVENUES ARE EXPECTED TO BE 150000 AND EXPENSES ARE 60% OF REVENUES FOR THE 3 YEARS IF THE NEW MACHINE CAN BE SOLD AT THE END OF THE 3 YEARS FOR $20000 AND TAXES IS 38%,K IS 0.14 WHAT IS THE INITIAL INVESTMENT? WHAT IS THE DISCOUNTED OPERATING CASH FLOW FOR THE 3 YEARS 2 REVENUES ARE EXPECTED TO BE 150000 AND Time left 0:47:15 60% OF REVENUES FOR THE 3 YEARS IF THE NEW MACHINE CAN BE SOLD AT THE END OF THE 3 YEARS FOR $20000 AND TAXES IS 38%,K IS 0.14 WHAT IS THE INITIAL INVESTMENT? WHAT IS THE DISCOUNTED OPERATING CASH FLOW FOR THE 3 YEARS 2 WHAT IS THE TERMINAL VALUE? WHAT S THE NPyaStep by Step Solution
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