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TCS Inc. is considering an expansion. The company spent and expensed $ 2 5 , 0 0 0 on research related to the project last

TCS Inc. is considering an expansion. The company spent and expensed $25,000 on research related to the project last year. The necessary equipment would be purchased for $20 million and will be fully depreciated at the time of purchase, and the expansion would require an additional $2 million investment in net operating working capital. The tax rate is 25%. What is the initial investment outlay after bonus depreciation is considered?

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