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Three years ago, the Mori Foods Company acquired a bean processing machine. The machine cost $60,000 and is being depreciated using the straight-line method over

Three years ago, the Mori Foods Company acquired a bean processing machine. The machine cost $60,000 and is being depreciated using the straight-line method over a 10-year period to an estimated salvage value of $0. A new, improved processor is now available, and the firm is considering making a switch. The firms marginal tax rate is 40 percent. What are the after-tax cash flow effects of selling the old processing unit if it can be sold for the following prices? Round your answers to the nearest dollar. Don't leave any cells blank. Enter zero if not applicable.

$42,000

Tax saving on tax loss: $

Tax on depreciation recapture: $

Capital gains tax: $

$32,000

Tax saving on tax loss: $

Tax on depreciation recapture: $

Capital gains tax: $

$58,700

Tax saving on tax loss: $

Tax on depreciation recapture: $

Capital gains tax: $

$61,500

Tax saving on tax loss: $

Tax on depreciation recapture: $

Capital gains tax: $

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