Find the eac after taxes assuming macrs depreciation and an, Business Economics

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Find the eac after taxes assuming macrs depreciation and an

The purchase of a large-volume copier is being considered.

2072_purchase of a large-volume copier.png

(a) Find the after-tax cash flow for year 3 for the copier using MACRS and the current tax law. The corporation's taxable income is about $5 million.

(b) Find the EAC after taxes for the copier assuming a MARR of 8% and traditional straight-line depreciation over 10 years.

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