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* WITHOUT USING MARCS using the information below, answer questions 1 to 5. casa grande farms is considering purchasing multiple tractors fo a total purchase
* WITHOUT USING MARCS
using the information below, answer questions 1 to 5. casa grande farms is considering purchasing multiple tractors fo a total purchase price of $540,000. these tractors are expected to generate ebitda of $250,000 for each of the next three years. casa grande farms has a 35% tax rate and has a cost of capital of 10%. 3) assume that casa grande farms is planning to sell the tractors after two years, when its book value is $119,988, for a total price of $180,000. what is the effect on free cash flow in the year it is sold? a cash inflow of $60,012 a cash outflow of $60,012 a cash inflow of $39,008 a cash outflow of $39,008
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