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A company is acquiring an asset which will have a capitalized cost of $1,500,000 and a depreciable life of 7 years. They plan to use

A company is acquiring an asset which will have a capitalized cost of $1,500,000 and a depreciable life of 7 years. They plan to use this machine for 5 years, then sell it for $550,000. Assuming a 25% tax rate, straightline depreciation and a $100,000 salvage value, what will be the after-tax proceeds of the sale?

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