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Question of points 2. A casino is considering a capital expenditure project that will involve purchasing and installing new equipment. The equipment cost will be

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Question of points 2. A casino is considering a capital expenditure project that will involve purchasing and installing new equipment. The equipment cost will be 540,000, with an additional 58,000 for delivery, and Installation is estimated to be $15,000. The equipment has an expected life of 15 years, and an estimated salvage value of $9.000. The firm has a 40% marginal tax rate and a 10% weighted average cost of capital (WACC) Calculate the annual change in depreciation for this project, assuming simplified straight line depreciation $4,200 per year $3,600 per year $4,620 per year 563.000 per year None of the listed items is correct

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