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SITA Corp. is looking for a project that has annual forecasted sales of $ 1 , 0 0 0 , 0 0 0 . The

SITA Corp. is looking for a project that has annual forecasted sales of $1,000,000. The variable production costs are 60% of sales. The project lasts 10 years. The equipment needed for the project costs $500,000, will be depreciated using MACRS method and has a 5-year MACRS classification (table below). There are no other costs. The tax rate is 20%.
\table[[Year,3-Year,5-Year,7-Year,10-Year],[1,33.33%,20.00%,14.29%,10.00%
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