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A firm has just purchased a new piece of equipment for $50000. The equipment will cost an additional $2000 to be delivered and installed. Based

A firm has just purchased a new piece of equipment for $50000. The equipment will cost an additional $2000 to be delivered and installed. Based on IRS guidelines, the equipment will be depreciated using a 3-year MACRS sched. The firm plans on using the equipment for three years and selling the equipment for 15000. The tax rate facing the firm is 30%. What will be the cash flow from selling the equipment in three years?

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