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Gateway Communications is considering a project with an initial fixed assets cost of $150 million that will be depreciated straight-tne to a ter book value
Gateway Communications is considering a project with an initial fixed assets cost of $150 million that will be depreciated straight-tne to a ter book value over the 10-year efte At the end of the project the equipment will be sold for an estimated $236.000. The project will not change sales but will reduce operating costs by $385.500 per year The 40 percent and the required return is 11.1 percent. The project will require $50,000 in net working capital, which will be recouped when the project ends what projects PV
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