Question: 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

 An assert is being considered whose first cost, life, salvage value

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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