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7. Your firm is selling a 6-year old machine that has a 10-year class life. The machine originally cost $250,000 and was originally depreciated straight-line

7. Your firm is selling a 6-year old machine that has a 10-year class life. The machine originally cost $250,000 and was originally depreciated straight-line to zero salvage value using the 10-year life. Your firm is selling the asset for $79,000. Your firm's marginal tax rate is 21%. What is the after tax salvage value i.e. how much will the firm receive, net of taxes, from selling the machine? a) $140,000 b) $104,910 c) $29,000 d) $83,410 e) $117,090

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