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Karsted Air Services is now in the final year of a project. The equipment originally cost $ 2 1 million, of which 1 0 0
Karsted Air Services is now in the final year of a project. The equipment originally cost $ million, of which has been depreciated. Karsted can sell the used equipment today for $ million, and its tax rate is What is the equipment's aftertax salvage value? Write out your answer completely. For example, million should be entered as Round your answer to the nearest dollar.
Faleye Consulting is deciding which of two computer systems to purchase. It can purchase stateoftheart equipment System A for an aftertax cost of $ which will generate aftertax cash flows of $ at the end of each of the next years. Alternatively, the company can purchase equipment with an aftertax cost of $ that can be used for years and will generate aftertax cash flows of $ at the end of each year System B If the companys WACC is and both projects can be repeated indefinitely, which system should be chosen, and what is its EAA? Do not round intermediate calculations. Round your answer to the nearest cent.
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