A company is considering a machine acquisition. The new machine will cost 60.000 TL and...
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A company is considering a machine acquisition. The new machine will cost 60.000 TL and the shipping and installation costs are 20.000 TL, all are paid in cash. The old machine is fully depreciated and will be sold for 5.000 TL cash immediately with the purchase of the new one. The useful life of the new machine is 5 years and the company uses accelerated method of depreciation. Tax rate is 20% for the company. What is the investment cash outflow?
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