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The following data apply to the next three questions You are considering installing an energy-efficient central heating system in your firms warehouse. The installation will
The following data apply to the next three questions You are considering installing an energy-efficient central heating system in your firms warehouse. The installation will cost $24,000, and you estimate total savings of $8,000 per year. The heating system will depreciate evenly over four years, at which point they must be replaced.
The cost of capital is 10% per year. Q13. What is the firms EVA in year 4?
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