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Table Column Headings A: Before-Tax Market Value of the equipment. B: Annual Depreciation C: Book Value D: Recaptured Depreciation E: Taxes Payable or Tax Savings

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Table Column Headings A: Before-Tax Market Value of the equipment. B: Annual Depreciation C: Book Value D: Recaptured Depreciation E: Taxes Payable or Tax Savings on Recaptured Depreciation F: After-Tax Market Value = Column A - Column E G: After-Tax Capital Recovery H: Tax Savings due to Depreciation Charges 1: Before-Tax Operating Expenses J: After-Tax Operating Expenses K: Annual Cost for year "n" L: After-Tax AEW if truck is kept "n" years. After-Tax Analysis of the Challenger: Q6 to Q15 EOY A B CDEE G H K L 0 690,000 1 586,500 51,750 85,000 EE 2 498,525 95,738 102,000 FF 423,746 81,377 122,400 GG 4 360,184 69,170 HH 146,880 306,157 58,795 176,256 6 260,233 49,976 JJ 211,507 7 221, 198 42,479 KK 253,809 8 188,018 36,107 LL 304,570 MM After-Tax MARR = 6%; DB Depreciation Rate = 15%; Income Tax Rate = 40%

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