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The management of serpas corporation is considering the

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The management of Serpas Corporation is considering the purchase of a machine that would cost $120,000, would last for 4 years, and would have no salvage value. The machine would reduce labor and other costs by $32,000 per year. The company requires a minimum pretax return of 12% on all investment projects. (Ignore income taxes.)

Reference no: EM13575529

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