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An assert is being considered whose first cost, life, salvage value and annual operating cost expenses respectively, are estimated at $15,000, 10 years, zero and $800. The asset will be depreciated by the straight line method. The effective income tax is 40%. Determine the equivalent annual cost at 12% for the after-tax cash flow.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92424595

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