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bachelor in business administration
Polytechnic State University Sanluis
Jan-2006 - Nov-2010
CPA
Polytechnic State University
Jan-2012 - Nov-2016
Professor
Harvard Square Academy (HS2)
Mar-2012 - Present
After 4 years of use, Procter and Gamble has decided to replace capital equipment used on its Zest bath soap line. The equipment was MACRS-depreciated over a 3-year recovery period. After-tax MARR is 10% per year, and T e
is 35% in the United States. The cash flow data is tabulated in $1000 units.

a. Utilize the CFBT series and AW value to determine whether the equipment investment exceeded the MARR.
b. Calculate MACRS depreciation and estimate the CFAT series over 4 years. Neglect any tax impact caused by the $700,000 salvage received in year 4.
c. Utilize the CFAT series and AW value to determine whether the investment exceeded the MARR.b. Compare the after-tax ROR values using both
methods—CFAT series and approximation from
the CFBT values using the before-tax ROR and T e .
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