In year 1, Firm A paid $52,000 cash to purchase a tangible business asset In year 1 and year 2, it deducted $3,260 and $7400 depreciation with respect to the asset Firm As marginal tax rate in both years was 21 percent a Compute Firm A's net cash flow attributable to the asset purchase in each year b Compute Firm A's adjusted basis in the asset at the end of each year Complete this question by entering your answers in the tabs below Required A Required B Compute Firm A's net cash flow attributable to the asset purchase in each year (Cash outflows should be indicated by a minus sign Round your intermediate calculations and final answers to nearest whole dollar amount ) Year 1 Year 2 Before tax cash flows Tax ico) of savings Net cash flow Required B a Compute Firm A's net cash flow attributable to the asset purchase in each year b Compute Firm A's adjusted basis in the asset at the end of each year Complete this question by entering your answers in the tabs below Required A Required B Compute Firm A's adjusted basis in the asset at the end of each year Adjusted basis at end of Year 1 Adjusted basis at end of Year 2

Question

In year 1, Firm A paid $52,000 cash to purchase a tangible business asset  In year 1 and year 2, it deducted $3,260 and $7400 depreciation with respect to the asset  Firm As marginal tax rate in both years was 21 percent  a  Compute Firm A's net cash flow attributable to the asset purchase in each year  b  Compute Firm A's adjusted basis in the asset at the end of each year  Complete this question by entering your answers in the tabs below  Required A Required B Compute Firm A's net cash flow attributable to the asset purchase in each year  (Cash outflows should be indicated by a minus sign  Round your intermediate calculations and final answers to nearest whole dollar amount ) Year 1 Year 2 Before tax cash flows Tax ico) of savings Net cash flow Required B   a  Compute Firm A's net cash flow attributable to the asset purchase in each year  b  Compute Firm A's adjusted basis in the asset at the end of each year  Complete this question by entering your answers in the tabs below  Required A Required B Compute Firm A's adjusted basis in the asset at the end of each year  Adjusted basis at end of Year 1 Adjusted basis at end of Year 2

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Question

In year 1, Firm A paid $52,000 cash to purchase a tangible business asset. In year 1 and year 2, it deducted $3,260 and $7400

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