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show the process not excel 1. The Tri-Star Company currently uses an old lathe that was purchased 2 years ago at $4000. This machine is

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1. The Tri-Star Company currently uses an old lathe that was purchased 2 years ago at $4000. This machine is being depreciation on a MACRS five year (20%, 32%, 19%, 12%, 11%, 6%). The current market value for this machine is $2000. The proposed new improved lathe cost $10,000 and additional installation fee of $1200. The new lathe machine would require that inventories be increased by $1,000 and account receivable increase $700, but accounts payable would simultaneously increase by $500. Tri-Star's marginal federal-plus-state tax rate is 25%, if company evaluating replacement of the old machine with the new one what is the initial investment

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