Three years ago, Girston Gravel Pit purchased a material conveyor system. The company has decided to sell the system and acquire more advanced technology. Data relating to the existing system follow.

Current fair value	$59,200
Original cost	158,400
Current book value for tax purposes	28,800
Current book value for financial accounting purposes	56,000
Corporate tax rate	30%

a. How much depreciation has been taken on the conveyor system for (1) tax and (2) financial accounting purposes? (1) Tax depreciation (2) Financial accounting depreciation b. What will be the after-tax cash flow from the sale of this asset? c. What will be the after-tax cash flow from the sale of the asset if its fair value is $14,400 rather than $59,200?