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ABC Inc. is going to purchase a new stamp press for $ 1 8 , 0 0 0 . The press will require an extra

ABC Inc. is going to purchase a new stamp press for $18,000. The press will require an extra $1,800 for shipping and installation costs. The press can be sold in two years for $12,000. The depreciation rates are 20% in year one and 32% in year two. If the corporate tax rate is 40%, what is the net salvage value for the machine?
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$3,398.40
$2,054.40
$3,014.40
$2,784.00
$3,720.40

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