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Southem Inc. purchases an asset for $95,000. This asset qualifies as a 3-year recovery asset under MACRS with the fixed depreciation percentages as follows: year

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Southem Inc. purchases an asset for $95,000. This asset qualifies as a 3-year recovery asset under MACRS with the fixed depreciation percentages as follows: year 1-33.33%, year 2-44.45%, year 3-14.81%, and year 4 = 7.41%, Southern has a tax rate of 25%. If the asset is sold at the end of 3 years for S22.000, what is the cash flow from disposal? $22,825 $9,349 $14,608 $18,260 O $11,686

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