A special power tool for plastic products is classified $6,500, has a salvage value of $800 when sold at the end of 5 years, uniform annual end-of-ycar benefits (before tax) of $3,500 per year, and uniform annual operating and maintenance costs (before tax) of $1,200 per year. Compute the after-tax present worth (for an MARR of 10% ) , based on MACRS depreciation and a 34% corporate income tax rate. 

Answer rating: 100% (QA)

To compute the aftertax present worth we need to consider the annual cash flows taking into account ... View the full answer