Question
A firm is trying to determine the cash flow from selling an old computer system to an interested buyer. The computer system was purchased five
A firm is trying to determine the cash flow from selling an old computer system to an interested buyer. The computer system was purchased five years ago for $442,813.00. The system was depreciated using the 7-year MACRS schedule. The firm has an offer this morning for $72,207.00. The tax rate facing the firm is 38.00%. The firm will only accept the offer if it generates a cash flow greater than $61,332.00.
What is the NSV from selling the computer system today?
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Regulation A+ And Other Alternatives To A Traditional IPO Financing Your Growth Business Following The JOBS Act
Authors: David N. Feldman
1st Edition
1119416159,1119416124
