Question 7 (1 point) A corporation is selling an existing asset for $21.000. The asset, when purchased, cost 000, was being depreciated under MACRS using a five-year recovery period from the $10, table below, and has been depreciated for four full years. If the assumed tax rate is 40 percent on ordinary income and capital gains, the tax effect of this transaction is MACRS RATE Recovery 10 year 3 yearss years 7 years years | 33 20% 14% 10% 45 32 25 18 15 1 19 18 14