Book value and taxes on sale of assets Troy Industries purchased a new machine $5$ year$($s$)$ ago for $$80,000.$ It is being depreciated under MACRS with a $5-$year recovery period using the schedule Assume $21\%$ ordinary and capital gains tax rates.

a$.$ What is the book value of the machine?

b$.$ Calculate the firm's tax liability if it sold the machine for each of the following amounts: $$96,000$;$$56,000$;$$4,000$; and $$2,800.$