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The initial capital outlay is $75,000, the annual operating cash flows are $9,375, the project will run for 26 years, the after-tax-salvage cash flow
The initial capital outlay is $75,000, the annual operating cash flows are $9,375, the project will run for 26 years, the after-tax-salvage cash flow is guessed to be $150,000, the required rate of return on this project is 8.8% and the company weighted average cost of capital is 7.5%.
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