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Quality Services is now at the end of the final year of a project. The equipment originally cost $30,000, of which 85% has been depreciated.

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Quality Services is now at the end of the final year of a project. The equipment originally cost $30,000, of which 85% has been depreciated. The firm can sell the used equipment today for a salvage value of $10,000, and its tax rate is 30%. What would be the equipment's after-tax salvage value for use in a capital budgeting analysis? Question 20 4pts You recently purchased a stock that is expected to earn 25 percent in a booming economy. 10 percent in a normal economy, and lose 35 percent in a recessionary economy. There is a 10 percent probability of a boom and a 75 percent chance of a normal economy. What is your expected rate of return on this stock? 4.7500 3.40% 4.55% 5.003k 5.25%

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