Determine the net after -tax cash flows for cash period

Reference no: EM13242505

an automobile -manufacturing company is considering purchasing an industrial robot to do spot welding , which is currently done by skilled labor . the initial cost of the robot is $210,000, and the annual labor savings are projected to be $150,000, If purchased, the robot will be depreciated under will be used for seven years, at the end of which time, the firm expects to sell it for $60,000. The company's marginal tax rate is 35% cover the project period. Determine the net after -tax cash flows for cash period over the project life. Assume MARR= 15%

Reference no: EM13242505

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