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no financial calculator or excel! Calculating EAC [L04] You are evaluating two different siliceswafer milling machines. The Techron I costs $245,000, has a three-year life,

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Calculating EAC [L04] You are evaluating two different siliceswafer milling machines. The Techron I costs $245,000, has a three-year life, and is pretax oper- ating costs of $63,000 per year. The Techron II costs $420, 000, has a five-year life. and has pretax operating costs of $35,000 per year. For both milling machines, use straight-line depreciation to zero over the project's life and assume a salvage value of $40,000. If your tax rate is 22 percent and your discount rate is 10 percent, compute the EAC for both machines. Which do you prefer? Why? the required return is 1i pe

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