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Question 10 3 pts You are considering the purchase of a new piece of equipment, Model A, that costs $800,000, and will be depreciated using
Question 10 3 pts You are considering the purchase of a new piece of equipment, "Model A", that costs $800,000, and will be depreciated using four-year straight line depreciation over the course of the four year project. The equipment requires 20,000 in annual maintenance, and will be sold for $100,000 at the end of four years. If your effective tax rate is 30%, what will be the effective cost of this machine? Your WACC is 10% for equipment purchases. 0 -162,594 0.551.250 O-606,375 -620,375
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