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The cost of plant of $500,000. It has an estimated life of 5 years after which it would be disposed off (scrap value nil). Profit


The cost of plant of $500,000. It has an estimated life of 5 years after which it would be disposed off (scrap value nil). Profit before depreciation, interest and taxes (PBIT) is estimated to be $175,000 per year. Find out the yearly cash flow from the plant. (given the tax rate @30%).

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