Question
Consider an asset that costs $404,800 and is depreciated straight-line to zero over its 8-year tax life. The asset is to be used in a
| Consider an asset that costs $404,800 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 $50,600. |
| Required : |
| If the relevant tax rate is 32 percent, what is the aftertax cash flow from the sale of this asset? DO NOT ROUND INTERMEDIATE CALCULATIONS |
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Fundamentals Of Financial Management
Authors: James C. Van Horne
10th Edition
0138596875, 978-0138596873
