Consider an asset that costs $272,800 and is depreciated straight-line to zero over its 8-year tax life. The asset is to be used in a 3-year project; at the end of the project, the asset can be sold for $34,100.

If the relevant tax rate is 24 percent, what is the aftertax cash flow from the sale of this asset?

Multiple Choice

• $63,494.20

• $25,916.00

• $70,177.80

• $369,656.00

• $66,836.00