After taxes and real estate commission

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Reference no: EM13950889

Talbot Industries is considering launching a new product. The new manufacturing equipment will cost $17M, and production and sales will require an initial $5M investment in NOWC. The company's tax rate is 40%. What ist he initial investment outlay?b. The company spend and expensed $150,000 on research related to the new product last year. Would this be change your answer? Explain. c. Rather than build a new manufacturing facility, the company plans to install the equipment in a building it owns but is now not using. The building could be sold for $1.5M after taxes and real estate commission. How would this affect your answer.

Reference no: EM13950889

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