Cost recovery. Brock Florist Company bought a new delivery truck for $$29,000.$ It was classified as a light$-$duty truck. The company sold its delivery truck after three years of

service. If a five$-$year life and MACRS, ${?}^1,$ was used for the depreciation schedule, what is the after$-$tax cash flow from the sale of the truck $($use a $40\%$ tax rate$)$ if

a$.$ the sales price was $$14,000?$

b$.$ the sales price was $$9,000?$

c$.$ the sales price was $$3,000?$

a$.$ If the sales price was $$14,000,$ what would be the after$-$tax cash flow?

$

$($Round to the nearest cent.$)$

b$.$ If the sales price was $$9,000,$ what would be the after$-$tax cash flow?

$

$($Round to the nearest cent.$)$

c$.$ If the sales price was $$3,000,$ what would be the after$-$tax cash flow?

$

$($Round to the nearest cent.$)$

$1$: Data Table

MACRS Fixed Annual Expense Percentages by Recovery Class

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