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(ignore income taxes in this problem.) Allo Foundation, a tax-exempt organization, invested $200,000 iin cost-saving equipment. The equipment has a fie-year useful life with no
(ignore income taxes in this problem.) Allo Foundation, a tax-exempt organization, invested $200,000 iin cost-saving equipment. The equipment has a fie-year useful life with no salvage value, Allo estimates that the annual cash savings from this project will amount to $65,000. On investments of this type, Allo's required rate of return is 12%.
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