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Alcalde, Inc. wants to buy an asset that it expects will earn $18,000 per year before taxes. Alcalde is in the 21% tax bracket and
Alcalde, Inc. wants to buy an asset that it expects will earn $18,000 per year before taxes. Alcalde is in the 21% tax bracket and would depreciate $4,000 per year of the purchase price of this asset. What is Alcalde's expected after-tax cash flow on this asset? $10,220 $18,220 $15,060 $7,780 None of the above
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