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find B only using flat 25% Tax rate. 09.02-PR009 Video Solution A high-precision programmable router for shaping furniture compo- nents is purchased by Henredon for
find B only using flat 25% Tax rate.
09.02-PR009 Video Solution A high-precision programmable router for shaping furniture compo- nents is purchased by Henredon for $190,000. It is expected to last 12 years and have a salvage value of $5,000. It will produce $45,000 in net revenue each year during its life. Corporate income tax rate is 25% and the after-tax MARR is 10%. Develop tables using a spreadsheet to determine the ATCF for each year and the after-tax PW, AW, IRR, and ERR if the router is kept for 12 years. a. Use straight-line depreciation (no half-year convention). b. Use MACRS-GDS and state the appropriate property class. c. Use double declining balance depreciation (no half-year convention, no switching). a Step by Step Solution
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