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Business, 26.02.2020 17:59 HeroicEddie

Nelson Electronics, Inc., just purchased a soldering machine to be used in its assembly cell for flexible disk drivers. This machine costs $248,000. Because of the specialized function it performs, its useful life is estimated to be five years. At the end of that time, its salvage value is estimated to be $43,000. What is the capital cost for this investment if the firm’s interest rate is 18%?

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