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    Depreciation of new processing line for capital budgeting

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    X Company is considering the acquisition of a new processing line. The processor can be purchase for $3,750,000; it will have a 10 year useful life. It will cost $165,000 to ship and $85,250 to install the processor. A recently completed feasibility study that was performed at a cost of $65,000 indicated that the processor would produce a positive NPV. The processor will be depreciated using the straight line method to zero expected salvage value.? Studies have shown that employee-training expenses will be $ 125,000. What will be the annual depreciation expenses of the processing line for capital budgeting purposes?

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    Annual depreciation expenses of the processing line for capital budgeting purposes

    =(Cost of the ...

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    The response discusses depreciation of new processing line for capital budgeting purposes.

    $2.19

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