What is the NPV of the depreciation cost over the life of a machine with the...
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What is the NPV of the depreciation cost over the life of a machine with the following details if it is depreciated using MACRS? The asset will be put in use in the 2nd quarter and will be depreciated over 8 years. Initial cost of asset $494,284.38 Salvage value $69,199.81 Life of asset Rate of interest 7 8.75% years русу What is the NPV of the depreciation cost over the life of a machine with the following details if it is depreciated using MACRS? The asset will be put in use in the 2nd quarter and will be depreciated over 8 years. Initial cost of asset $494,284.38 Salvage value $69,199.81 Life of asset Rate of interest 7 8.75% years русу
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Answer rating: 100% (QA)
To calculate the NPV of the depreciation cost over the life of the machine using MACRS we need to calculate the depreciation expense each year and then discount those expenses to their present value u... View the full answer
Related Book For
Fundamentals of Financial Management
ISBN: 978-0324597707
12th edition
Authors: Eugene F. Brigham, Joel F. Houston
Posted Date:
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