Question: 2. The machine in Problem I will generate incremental revenues of $4 million per year along with incremental costs of $1.2 million per year. If

 2. The machine in Problem I will generate incremental revenues of

2. The machine in Problem I will generate incremental revenues of $4 million per year along with incremental costs of $1.2 million per year. If Daily's marginal tax rate is 21%, what are the incremental earnings associated with the new machine? Incremental Revenue Incremental Costs Depreciation Expense Earnings Before Tax Tax 0.21 Earnings After Tax . 0 1 12 13 14 15 16 17 18 19 20 21 Addback Depreciation Cash Flow from Operations

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