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First photo is question I need answered, second photo is the formula you can use to get the correct answer, retrieved from similar questions with
First photo is question I need answered, second photo is the formula you can use to get the correct answer, retrieved from similar questions with different inputs. Please also adhere to the rounding instructions (in red), or it will be incorrect. please/thanks
Question 6 1 pts Renegade Industries is considering the purchase of a new machine for the production of latex. Machine A costs $2.95 million and will last for six years. Variable costs are 32% of sales, and fixed costs are $1988856 per year. Machine B costs $4.93 million and will last for nine years. Variable costs for this machine are 23% of sales and fixed costs are $1382748 per year. The sales for each machine will be $9.6 million per year. The required return is 11 %, and the tax rate is 38%. Both machines will be depreciated on a straight-line basis. The company plans to replace the machine when it wears out on a perpetual basis. Calculate the EAC for machine A. (Round answer to 2 decimal places. Do not round intermediate calculations) Topic: Capital Budgeting Problem ((-1 *INVA. 1000000)+(0-(((VCA/100). S). 1000000)-FCA- (INVA 1000000)/6)/ (0.62)+ (INVA 1000000)/6)(1-(1/(1+ (R/100) 6))/ (R/100))M/(1-(1/(1+(R/100)*6/ (R/10o)
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