Wable Inc. has provided the following data to be used in evaluating a proposed investment project: For tax purposes, the entire initial investment without any reduction for salvage value will be depreciated over 5 years. The company uses a discount rate of 16%.
-When computing the net present value of the project, what are the annual after-tax cash expenses?
A) $94,000
B) $193,700
C) $44,700
D) $104,300

Question

Wable Inc. has provided the following data to be used in evaluating a proposed investment project:  For tax purposes, the entire initial investment without any reduction for salvage value will be depreciated over 5 years. The company uses a discount rate of 16%.
-When computing the net present value of the project, what are the annual after-tax cash expenses?
A) $94,000 
B) $193,700 
C) $44,700 
D) $104,300

Quizplus · Accepted Answer

The Answer of Wable Inc. has provided the following data to be used in evaluating a proposed investment project:  For tax purposes, the entire initial investment without any reduction for salvage value will be depreciated over 5 years. The company uses a discount rate of 16%.
-When computing the net present value of the project, what are the annual after-tax cash expenses?
A) $94,000 
B) $193,700 
C) $44,700 
D) $104,300

Wable Inc Has Provided the Following Data to Be Used in in Evaluating