Net present value of the new computer system

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What is the net present value of the new computer system, if it cost $50,000 to install with an estimated economic life of 6 years but will be depreciated as a 5 year class asset under MACRS rules to a $0 estimated salvage value. The fund to install it will be borrowed from a bank at 10% pretax annual percentage rate of interest. Marginal tax rate 40%

Reference no: EM131517573

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