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I have the correct answers, in gray, I just need someone to explain how to find them! Thank you!!!! Pique Corporation wants to purchase a

image text in transcribedI have the correct answers, in gray, I just need someone to explain how to find them! Thank you!!!!
Pique Corporation wants to purchase a new machine for S300,000. Management predicts that the machine can produce sales of $200,000 each year for the next 5 years. Expenses are expected to include direct materials, direct labor, and factory overhead (excluding depreciation) totaling $80,000 per year The firm uses straight-line depreciation with no residual value for all depreciable assets. Pique's combined income tax rate is 40%. Management requires a minimum after-tax rate of return of 10% on all investments. What is the net after-tax cash inflow in Year 1 from the investment? A. $72,000 B. $96,000 C. $108,000 D. $112,000 $120,000. What is the amount of net income (after taxes) in Year 2 of the investment? A. $24,000 B. $36,000 C. $48,000 D. $72,000 E. $120,000 what is the annual book (accounting) rate of return based on the initial investment? 12% B. 20%. c. 32% D. 36% E. 40%

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