Question
Salvage problem: at the end of year 3 of a project you sell equipment for 23,500 that you bought for 50,000 when the project started.
Salvage problem: at the end of year 3 of a project you sell equipment for 23,500 that you bought for 50,000 when the project started. What is the total cashflow after taxes? Use the following MACRS percentages.
Y1- 20%
Y2- 32%
Y3- 19%
Y4- 11.52%
Y5- 11.52%
Y6- 5.76%
tax rate- 21%
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Public Finance A Contemporary Application Of Theory To Policy
Authors: David N. Hyman
5th Edition
0030113172, 978-0030113178
