point(s) possible Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 MACRS 14.29% 24.49 % 17 49 % 12.49 % 8.93% 8.92% 8.93% 4.46% Depreciation Rate A textile company invests $10 million in an open-end spinning machine. This was depreciated using the seven-year MACRS schedule shown above. If the company sold it immediately after the end of year 3 for $8 million, what would be the after-tax cash flow from the sale of this asset, given a tax rate of 20%? OA. $4,876.000 OB. $3,124,000 OC. $975,200 OD. $7,024,800 Next