FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $6,655,884.00 and

An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $6,655,884.00 and will be sold for $1,738,314.00 at the end of the project (End of the 4th year). If the tax rate is 35.00%, what is the after-tax salvage value of the asset?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance Basics 20 Minute Manager

Finance Basics 20 Minute Manager

Authors: Harvard Business Review

1st Edition

1625270852, 978-1625270856

More Books

Students also viewed these Finance questions

Question

★★★★★
What is the difference between internal and external fragmentation?

Answered: 1 week ago

Question

★★★★★
The Capital Asset Price Model (CAPM) is a financial model that attempts to predict the rate of return on a financial instrument, such as a common stock, in such a way that it is linearly related to...

Answered: 1 week ago

Question

★★★★★
LO34.5 Identify the functions and responsibilities of the Federal Reserve and explain why Fed independence is important.

Answered: 1 week ago

Question

★★★★★
During 2015, Palo Fiero purchases the following property for use in his calendar year-end manufacturing business: Item Date Acquired Cost Manufacturing equipment ............ June 2...

Answered: 1 week ago

Question

★★★★★
If the Fed reduces the interest paid on banks' reserves, it is trying to make banks hold Multiple Choice more excess reserves. less excess reserves. more required reserves. less required reserves.

Answered: 1 week ago

Question

★★★★★
Zigs Industries had the following operating results for 2011: sales = $27,360; cost of goods sold = $19,260; depreciation expense = $4,860; interest expense = $2,190; dividends paid = $1,560. At the...

Answered: 1 week ago

Question

★★★★★
Which factor contributes to the obsolescence of traditional quality management approaches in today's globalized marketplace? Question 36 Answer a. Failure to adapt to changing regulations b....

Answered: 1 week ago

Question

★★★★★
25. A vector 20 inches in length forms angles of 58 and 22 with two component vectors. Find the magnitudes of the two vectors. The magnitude of one vector = ? A. 17.2 inches B. 23.2 inches C. 12.5...

Answered: 1 week ago

Question

★★★★★
Kathryn is conducting a needs analysis to determine what financial losses organization ABC faces as a result of certain changes in governmental policies. Kathryn is most likely: A leader in the...

Answered: 1 week ago

Question

★★★★★
If Quality Airline cuts its domestic fares by 20%, A) profit will increase by 20%. B) a profit can only be earned by decreasing the quantity of flights. profits can be maintained either by increasing...

Answered: 1 week ago

Question

★★★★★
You have an opportunity to invest in Australia at an interestrate of 0.070. Moreover, you expect the Australian dollar (A$) toappreciate by 0.020. Your effective return from this investmentis:

Answered: 1 week ago

Previous Question Next Question