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An asset with an original cost of $100,000 and a current book value of $20,000 is sold for $50,000 as part of a capital budgeting
An asset with an original cost of $100,000 and a current book value of $20,000 is sold for $50,000 as part of a capital budgeting project. The company has a tax rate of 30%. This transaction will have what impact on the project's initial outlay?
reduce it by $20,000
reduce it by $6,000
reduce it by $15,000
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