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Flowers Inc. purchases an asset for $280,000 and will depreciate it down to zero using the straigth-line method. The life of the asset is 30
Flowers Inc. purchases an asset for $280,000
and will depreciate it down to zero using the straigth-line method. The life of the
asset is 30 years. Flowers Inc. has a tax rate of 20%. If the asset is sold at the end of
six years for $40,000, what is the cash flow from disposal (termination value of the
asset)?
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