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What is the project annual after-tax incremental earnings

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Reference no: EM132551201

Project Beta is a 6-year project which requires an initial outlay of $6,000. This outlay will be depreciated using straight-line depreciation over the life of the project. It will generate incremental revenue of $3000 per year and incremental costs (excluding depreciation) of $300. The tax rate is 30%.

What is the project's annual after-tax incremental earnings?

Reference no: EM132551201

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