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Suppose a company is selling on asset for a sale price of 5500,000. Four years ago the asset cost $1.5 million to purchase and install.

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Suppose a company is selling on asset for a sale price of 5500,000. Four years ago the asset cost $1.5 million to purchase and install. The asset has been depreciated using a 5-year straight line depreciation schedule. The firm pays a tax rate of 35% What is the cash flow from this sale? A B 1

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