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i need full solution.. please write all calculation and steps .. No excel .. otherwise i will give 5+ dislike and report about you ..
i need full solution.. please write all calculation and steps .. No excel .. otherwise i will give 5+ dislike and report about you .. .
Problem 10.2 A company is faced with the problem of choosing between two mutually exclusive projects. Project A requires a cash outlay of 1,00,000 and cash running expenses of 35,000 per year. On the other hand, Project B will cost 1,50,000 and require cash running expenses of 320,000 per year. Both the machines have an eight-year life. Project A has a 24,000 salvage value and Project B has 14,000 salvage value. The company's tax rate is 50 per cent and has a 10 per cent required rate of return. Assume depreciation on straight-line basis and no tax on salvage values of assets. Which project should be acceptedStep by Step Solution
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