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quick answer plz You were reviewing a proposal to buy production equipment for $236,000 in 2017. The equipment is a 30% CCA class asset. At

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quick answer plz
You were reviewing a proposal to buy production equipment for $236,000 in 2017. The equipment is a 30% CCA class asset. At the end of 8 years, it has an estimated salvage value of $34,000. If the equipment is purchased, the company will save $64,500 of annual operating costs, before-tax. The company's marginal tax rate is 20% and its cost of capital is 16%. Do not round when calculating PV of CCA tax shield, etc. Calculate the project's NPV using the six-step approach. Would you recommend approval for the project? Enter the following amounts to the nearest dollar without dollar sign or commas, e.g. 15000, if negative, -15000. 1) Initial investment: 2) PV of project savings: 3) PV of CCA: 4) PV of salvage: 5) PV of CCA lost: 6) Net Present Value

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