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Related to Checkpoint 112(Calculating EAC) Barry Bowwoll is a financial analyst for Dossman Metal Works Inc. and he is analyzing two alternative configurations for the

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Related to Checkpoint 112(Calculating EAC) Barry Bowwoll is a financial analyst for Dossman Metal Works Inc. and he is analyzing two alternative configurations for the mis new plasma cutter shop. The two alternatives, denoted A and B below, will porfor the same task, but alternative A will cost $85.000 10 purchase, while alternative will col only 65,000. Moreover, the two alternatives will have very different cash flows and useful lives. The after-tax costs for the two projects are as follows a. Calculate each project's EAC geen a discount of 11 percent b. Which of the leaves do you think Barry should select? Why? ..Artis Candicount vota (Round to the nearest cont) (Rolated to Checkpoint 11.2) (Calculating EAC) Bany Boswell is a financial analyst for Dossman Metal Works, Inc. and he is analyzing two alternative configurations for them's new plasma cutter shop. The two alternatives, donoted A and B below, will perform the same task but alternative A will cost $85,000 to purchase, while alternative will cost only $60,000 Moreover, the two alternatives will have very different cash flows and useful lives. The after-tax costs for the two projects are a follows m. Calculate each project's EAC given a discount rate of 10 percent b. Which of the alternatives do you think Barry should select? Why? . Alternative A's EAC at a discount rate of 10% in 5 Round to the riearest cent) Year Alternative A Alternative B. 0 $(85,000) A-5(60,000) 1 (18,000) (5,000) 2 (18,000) (5,000) 3 (18,000) (5,000) 4 (18,000) (18.000) 6 (18,000) Z (18,000) (Click on the icon in order to copy its contents into a spreadsheer) Print Done ex and then click Check

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