A company decides to invest in replacing an old machine. The company buys a new...
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Accounting
A company decides to invest in replacing an old machine. The company buys a new machine for $150,000. It sells the old machine for $75,000. The old machine had a book value of $30,000 at the time it was sold. The company's tax rate is 35%. What is the net cost of the investment in the new machine (to be used in capital budgeting analysis)?
Group of answer choices
$90,750.00
$75,000.00
$30,000.00
$150,000.00
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