Finding the project equivalent annual cost

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Question: A 6-year project has an initial fixed asset investment of $15,960, an initial NWC investment of $1,520, and an annual OCF of -$24,320. The fixed asset is fully depreciated over the life of the project and has no salvage value. Required: If the required return is 11 percent, what is the project's equivalent annual cost, or EAC?

Reference no: EM131928646

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