Question: BigTech Manufacturing will purchase a $1.8M process simulator. It will be replaced at the end of year 5 by a newer model. Use MACRS and

BigTech Manufacturing will purchase a $1.8M process simulator. It will be replaced at the end of year 5 by a newer model. Use MACRS and a tax rate of 40%. The simulators salvage value is $.5M. What is the equipments after-tax EAC over the 5 years if the interest rate is 10%

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