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Wheeler broadcast Inc. is replacing an old radio station that costs $150,000 four years ago with a new more efficient one that will cost $250,000.
Wheeler broadcast Inc. is replacing an old radio station that costs $150,000 four years ago with a new more efficient one that will cost $250,000. Shipping and installation will cost an additional $10,000. The old station has a book value of $30,000 but will be sold for $55,000. The new station will be depreciated with a 5-year life under MACRS guidelines with the increased efficiency and productivity net working capital will be increased by $12,000 if wheeler has a marginal tax rate of 25% what is the net investment?
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