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New York-Presbyterian Queens Hospital (not subject to income taxes) is considering replacing its current X-Ray machine with a larger one. The cost of the new
New York-Presbyterian Queens Hospital (not subject to income taxes) is considering replacing its current X-Ray machine with a larger one. The cost of the new X-Ray machine will be $300,000 and it will have a useful life of 5 years. Using a hurdle rate of 16%, New York-Presbyterian Queens Hospital calculates a net present value for the new X-Ray machine of $27,400. Based on this information, how much is the annual uniform cash income? A. $60,000 B. $80,000 C. $100,000 D. $120,000
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