Depreciation applicable to this project would be 20000 per

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The capital budgeting director is evaluating a project that costs $200,000, is expected to last for 10 years and to produce after-tax income of $29,503 per year. Depreciation applicable to this project would be $20,000 per year. If the cost of capital of the firm is 14%, what is the project's IRR (tax rate = 40%)?

Reference no: EM13571109

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