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An asset used in a four-year project falls in the five-year MACRS class (MACRS schedule) for tax purposes. The asset has an acquisition cost of
An asset used in a four-year project falls in the five-year MACRS class (MACRS schedule) for tax purposes. The asset has an acquisition cost of $7,500,000 and will be sold for $1,740,000 at the end of the project. If the tax rate is 22 percent, what is the aftertax salvage value of the asset?
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