What are the incremental earnings?

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Question - Daily Enterprises is purchasing a $9.8 million machine. It will cost $51,000 to transport and install the machine. The machine has a depreciable life of five years and will have no salvage value. The machine will generate incremental revenues of $4.2 million per year along with incremental costs of $1.1 million per year. If? Daily's marginal tax rate is 35%?, what are the incremental earnings? (net income) associated with the new? machine?

Reference no: EM133149598

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