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A profitable company making earthmoving equipment is considering an investment of $100,000 on equipment that will have a 5-year useful life and a $20,000 salvage value. Use a spreadsheet function to compute the MACRS depreciation schedule. Show the total depreciation taken (=sum( )) as well as the PW of the depreciation charges discounted at the MARR%.
(a) Straight-line method
(b) Double declining balance method
(c) MACRS method

Business Economics, Economics

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