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Consider an asset that costs $311,000 and is depreciated straight-line to zero over its six-year tax life. The asset is to be used in a

Consider an asset that costs $311,000 and is depreciated straight-line to zero over its six-year tax life. The asset is to be used in a four-year project; at the end of the project, the asset can be sold for $58,000. If the relevant tax rate is 21 percent, what is the aftertax cash flow from the sale of this asset?

a $42,473.33

b

$68,411.19

c

$40,466.67

d

$67,590.00

e

$70,103.33

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