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8.A five-year project has an initial fixed asset investment of AED370,000, an initial NWC investment...

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8.A five-year project has an initial fixed asset investment of AED370,000, an initial NWC investment of AED36,000, and an annual OCF of AED32,000. The fixed asset is fully depreciated over the life of the project and has no salvage value. If the required return is 12 percent. [2 Marks] Required a) What is this project's equivalent annual cost? b) Is negative EAC an ideal situation

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