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Real value at a constant rate

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Assume that a machine has a useful life of 10 years, and it loses its real value at a constant rate (i.e. 1/10 of the original value per year). At a 6% interest rate, and including depreciation in the calculation, over a 4 year period a $100,000 investment must earn at least approximately ____ to be economically viable.

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Reference no: EM132263185

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