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A construction equipment has initial cost & annual saving per year are of Rs 40000 & Rs 20000 respectively with annual operation & maintenance
A construction equipment has initial cost & annual saving per year are of Rs 40000 & Rs 20000 respectively with annual operation & maintenance cost of 7000. It will depreciate by MACRS method & will have no salvage value. The useful life of equipment is 5 years. Estimate before & after tax cash flow. The company pays income tax @40%. Evaluate after tax by FW method.
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Before Tax Cash Flow 1 Initial Cost Rs 40000 2 Annual Saving per Year Rs 20000 x 5 Years Rs 100000 3 Annual Depreciation MACRS Method Year 1 20 of Rs ...
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Fundamentals of Futures and Options Markets
Authors: John C. Hull
8th edition
978-1292155036, 1292155035, 132993341, 978-0132993340
