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You purchased equipment in 2017 for $120,000 plus it costs $20,000 to have it delivered and installed. You also traded your old computer worth $20,000.

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You purchased equipment in 2017 for $120,000 plus it costs $20,000 to have it delivered and installed. You also traded your old computer worth $20,000. The old CCA half-year rule still applied it will need $10,000 in spare parts inventory increase in NW) which it can sell for the $5,000 at the end of the project, you believe that the equipment will have a salvage value of $19,000 in 6 years. The company's marginal tax rate is 40%. If the asset's CCA rate is 20% and the required return on this project is 10%. What is the present value of the net working capital changes associated with the project

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