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Show all work (25 pts) Your engineering office is considering the purchase of a new year property) for a purchase price of $100,000. It is

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(25 pts) Your engineering office is considering the purchase of a new year property) for a purchase price of $100,000. It is anticipated that the system will be used for 6 years and then be sold for $10,000. Annual savings are estimated to be $40,000 per year and annual expenses are estimated to be $10,000 per year. Assume regular MACRS-GDS depreciation, rate, a 6-year planning horizon and an after-tax MARR of 15%. Determine the after tax cash flow (ATCF) and the present worth of the ATCF. Should your office purchase the computer system? 7. networked computer system (3- EOY BTCF Deprec TI Tax ATCF 4 6

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