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Due to market trends, a Company is selling its manufacturing equipment with the following values: Considering that the company pays 30% corporate tax, what is
Due to market trends, a Company is selling its manufacturing equipment with the following values: | |||||||||
Considering that the company pays 30% corporate tax, what is the amount of tax to be paid or recovered from the sale of each equipment ? | |||||||||
Type of machine | Purchase price | Book value | Selling price | ||||||
Equipment A | 100,000 | 100,000 | 150,000 | ||||||
Equipment B | 250,000 | 160,000 | 120,000 | ||||||
Equipment C | 110,000 | 110,000 | 115,000 | ||||||
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