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USE THE FOLLOWING INFORMATION FOR THE NEXT 3 QUESTIONS ABC Company bought a new machine that cost $500,000 on 1/1/15. The machine had a useful

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USE THE FOLLOWING INFORMATION FOR THE NEXT 3 QUESTIONS ABC Company bought a new machine that cost $500,000 on 1/1/15. The machine had a useful me of 10 years. ABC Company used straight-line depreciation with an estimated salvage value of SO. ABC Company is subject to an income tax rate of 40%. ABC Company sold the machine on 171718 (after using the machine for exactly 3 full years. In the next 3 questions, you are to determine the Net Cash Inflow (NCF) from the sale of the machine on 1/1/18. 20. If the machine was sold on 1/1/18 for $340,000, the Net Cash Inflow (NCF) is: A. $344,000 B. $400,000 C. $420,000 D. $340,000 21. If the machine was sold on 1/1/18 for $400,000, the Net Cash Inflow (NCF) is: A. $420,000 B. $400,000 C. $350,000 D. $380,000

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