Calculating Salvage Value 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 $8,300,000 and will be sold for $1,700,000 at the end of the project. If the tax rate is 35 percent, what is the after-tax salvage value of the asset (i.e., after-tax cash flow from the sales of asset)? 4. Hint : Use question #3 table information for depreciation expense calculation. First, you need to have market value (MV) and book value (BV) information of the used asset at the end of year 4