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Question 2 (1 point) The MARR' = 10% and inflation rate =6%. Required Investment = $80,000. Project life = 2 years. Salvage value =$30,000. CCA
Question 2 (1 point) The MARR' = 10% and inflation rate =6%. Required Investment = $80,000. Project life = 2 years. Salvage value =$30,000. CCA rate = 20% declining balance, 50% rule applies. Annual revenues = $90,000 and annual operating costs = $20,000. Marginal tax rate = 30%. Assume all the values above are given in constant dollars, similar to how it's done on slide 38 of Ch.14. Find the NPW of the project. Note: be careful not to confuse the investment cost with the revenues (this is a common mistake). 40,240 - 40,270 40,270 - 40,300 40,300 - 40,330 40,330 - 40,360 None of the above
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