An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for tax purposes. The asset has an acquisition cost of $17,100,000 and will be sold for $3,800,000 at the end of the project.

Required:If the tax rate is 33 percent, what is the aftertax salvage value of the asset

Which is the following answer?

$3,521,110

$2,546,000

$4,078,890

$3,697,166

$3,345,055