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Your firm is contemplating the purchase of a new $900,000 computer-based order-entry system.The system will be depreciated straight-line to zero over its 8-year life.You will
Your firm is contemplating the purchase of a new $900,000 computer-based order-entry system.The system will be depreciated straight-line to zero over its 8-year life.You will save $400,000 before tax per year in order processing costs.What is the OCF for the project assuming a tax rate of 21%?
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