your firm needs a computerized line boring machine which costs 80,000 and requires 20,000 in maintenance...

your firm needs a computerized line boring machine which costs 80,000 and requires 20,000 in maintenance for each year of its three year life. After three years, the salvage value will be zero. The machine falls into the class 10 equipment category (cca rate 30%). Assume a tax rate of 34% and a discount rate of 10%. What is the projects EAC?

A) -2,374

B) -37,539

C) -32,905

Expert Solution

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ANSWER : B) 37539

jeff jeffy answered 2 years ago

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