Project analysis - explain

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Project Analysis : explained

Your company decides to buy the new equipment to replace the existing equipment. For evaluating the new equipment, would you please describe whether the following cash flows should be included in the analysis. WHY?

i Reduction in operating costs annually for the use of the new equipment;

ii research cost;

iii Annual cash operating costs total for the use of existing equipment; and

iv loan for financing the new equipment.

Reference no: EM1343427

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