Consider an asset that costs $211,200 and is depreciated straight-line to zero over its 10-year tax life. The asset is to be used in a 7-year project; at the end of the project, the asset can be sold for $26,400.

If the relevant tax rate is 35 percent, what is the aftertax cash flow from the sale of this asset?

$257,412.00

$41,302.80

$39,336.00

$37,369.20

$17,160.00