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Author Question: An infinite-life replacement chain allows projects of different lengths to be compared. Indicate ... (Read 64 times)

KWilfred

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An infinite-life replacement chain allows projects of different lengths to be compared.
 
  Indicate whether the statement is true or false

Question 2

Kelly Corporation is considering an investment proposal that requires an initial investment of 150,000 in
  equipment. Fully depreciated existing equipment may be disposed of for 40,000 pre-tax.
 
  The proposed project
  will have a five-year life, and is expected to produce additional revenue of 65,000 per year. Expenses other
  than depreciation will be 15,000 per year. The new equipment will be depreciated to zero over the five-year
  useful life, but it is expected to actually be sold for 20,000. Kelly has a 35 tax rate.
  a. What is the net initial outlay for the proposed project?
  b. What is the operating cash flow for years 1-4?
  c. What is the total cash flow at the end of year five (operating cash flow for year 5 plus terminal cash flow)?


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djpooyouma

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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KWilfred

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Reply 2 on: Jul 10, 2018
Great answer, keep it coming :)


komodo7

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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