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Step by step please Vernon-Nelson Chemicals is planning to release a new brand of insecticide, Bee-Safe, that will kill many insect pests but not harm
Step by step please Vernon-Nelson Chemicals is planning to release a new brand of insecticide, Bee-Safe, that will kill many insect pests but not harm useful pollinators. Buying new equipment to manufacture the product will cost $20 million, and there will be an additional $2 million cost to reconfigure existing plant The equipment is expected to have a lifetime of eight years and will be depreciated by the straight-line method over its lifetime The firm expects that they should be able to sell 1,500,000 gallons per year at a price of $52 per gallon It will take $.18 per gallon to manufacture and support the product If Vernon-Nelson s marginal tax rate is 40%. what are the incremental earnings in year 3 of this project
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