Question: A project to replace an old machine with a new one is under consideration. the new machine costs $11700 and requires an additional working capital

A project to replace an old machine with a new one is under consideration. the new machine costs $11700 and requires an additional working capital investment of $750. the old machine is expected to have a $750 salvage value. calculate the Initial Outlay of this replacement project assuming the book value of the old asset is $1500. The firms marginal tax rate is 55%

$750 salvage value. Calculate the initial o $11,287.50 $10,537.50 $12,037.50 $12,112.50 None of the listed choices is correct

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