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Madison company is considering the purchase of $100,000 machine that is expected to result in a decrease of $25,000 per year in cash expenses after
Madison company is considering the purchase of $100,000 machine that is expected to result in a decrease of $25,000 per year in cash expenses after taxes. This machine will have no salvage value has an estimated useful life of 10 years and will be depreciated on a straight line basis. For this machine the multi year ROI will be:
select one:
a. 70%
b. 30%
c. 20%
d. 50%
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