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A project required the initial investment of $850,000 on its equipment. It will be depreciated to the book value of $0 after six years. However,

A project required the initial investment of $850,000 on its equipment. It will be depreciated to the book value of $0 after six years. However, the equipment can be sold for $95,000 at the end of the six years. What is the after-tax gain by selling the equipment at the end of the six years if the tax rate is 30%?

$95,000

$66,500

$141,666.67

$0

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