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Question 10 (1 point) Consider a $1200 investment for a new plant that is expected to have a Residual Value of $200 in five years.

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Question 10 (1 point) Consider a $1200 investment for a new plant that is expected to have a Residual Value of $200 in five years. What is the Salvage Value at the end of year 5 if the following depreciation plan will be used? Assume 21 % tax rate for capital gain/loss At the end of year: 0 1 2 4 5 6 3 Depreciation 0.00% 20.00% 32.00 % 19.20% 11.52 % 11.52 % 5.76% $69 $227 O $158 $173 Question 11 (1 point) What is the Increase in Working Capital in Year 2? At the end of year: 0 1 2 4 3 5 Inventory Accounts Receivable Accounts Payable 36 40 30 33 40 40 26 20 22 24 26 26 15 17 19 21 21 21 35 38 O41 2

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