Q$12)$

Ewha Corp purchased some machinery $3$ years ago for $$400,000.$ These assets

are classified as $5-$year property for MACRS. The company is replacing this

machinery today with newer machines that utilize the latest in technology. The old

machines are being sold for $$150,000$ to a foreign firm for use in its production

facility in South America. What is the after$-$tax salvage value this sale if the tax

rate is $20$ percent?

MACRS $5-$year property

Year: $123456$

Rate: $20\mathrm{.}00\%32\mathrm{.}00\%19\mathrm{.}20\%,11\mathrm{.}52\%,11\mathrm{.}52\%,5\mathrm{.}76\%$

Answer: