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Question 8 Part H A large company is planning to purchase equipment costing $220,000 and will depreciate it fully using straight-line depreciation over 8 years.

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Question 8 Part H A large company is planning to purchase equipment costing $220,000 and will depreciate it fully using straight-line depreciation over 8 years. The company expects that the investment will have an annual benefit of $54,000. Each use of the equipment will also provide a benefit of $25. In 5 years, there will be no salvage value for the equipment. The company's combined marginal tax rate is 24%. Based on 12% after-tax MARR, how many uses of the equipment must the company have each year in order to justify its investment? Question 8 Part H: What is the break-even value

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