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Calculate the net value of the old machine sales calculated

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Reference no: EM132861364

Question 1: The company plan to change the semi-automatic machines to fully automatic machines . New machines are bought with a value of $ 10 billion, while old machines can be sold for $ 500 million. The current book value of the old machine is $ 400 million. The corporate tax rate is known to be 25%. Calculate the net value of the old machine sales calculated in the initial outlay (as a deduction for 10)?

Reference no: EM132861364

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