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Sister Tool Co. is considering investing in specialized equipment costing $612,000. The equipment has a useful life of five years and a residual value

Sister Tool Co. is considering investing in specialized equipment costing $612,000. The equipment has a useful life of five years and a residual value of $68,000. Depreciation is calculated using the straight-line method. The expected net cash inflows from the investment are given below: Year 1 $214,000 2 153,000 3 166,000 4 96,000 5 138,000

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