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. You are working on a bid to build two city parks a year forthe next three years. This project requires the purchase of$180,000 of equipment that will be depreciated using straight-linedepreciation to a zero book value over the 3-year project life. Theequipment can be sold at the end of the project for $34,000. Youwill also need $20,000 in net working capital for the duration ofthe project. The fixed costs will be $16,000 a year and thevariable costs will be $168,000 per park. Your required rate ofreturn is 15 percent and your tax rate is 34 percent. What is theminimal amount you should bid per park?A. $72,500B. $128,600C. $154,300D. $189,100E. $217,600Please give detailed explanation about how to get each value
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