Question
An asset used in a 4 year project falls in the 5 year MACRS class for tax purposes. The asset has an acquisition cost of
An asset used in a 4 year project falls in the 5 year MACRS class for tax purposes. The asset has an acquisition cost of $13,320,000 and will be sold for $2,960,000 at the end of the project. If the tax rate is 31 percent, what is the aftertax salvage value of the asset?
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Fundamentals of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
5th edition
205989756, 978-0205989751
