Liberty Services is now at the end of the final year of a project. The equipment orginally cost $25,000, of which 75% has been depreciated. The firm can sell the used equipment today for $8,000, and its tax rate is 20%. What is the equipment's after-tax salvage value (net cash flow) from the sale for use in a capital budgeting analysis? $7,405 O $6,870 O $7,650 O $7,235

Liberty Services is now at the end of the final year of a project. The equipment orginally cost $25,000, of which 75% has been depreciated. The firm can sell the used equipment today for $8,000, and its tax rate is 20%. What is the equipment's after-tax salvage value (net cash flow) from the sale for use in a capital budgeting analysis? $7,405 $6,870 $7,650 $7,235