Question
We purchase a new machine for $50,000, it costs $2,500 to install, and we are in the MACRS 5 year class. If we sell the
We purchase a new machine for $50,000, it costs $2,500 to install, and we are in the MACRS 5 year class. If we sell the machine after one year for $32,000 and our tax rate is 20%, what is the after-tax salvage value of the machine?
a.
$32,000
b.
$25,600
c.
$8,375
d.
$6,700
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Economics Of Money Banking And Financial Markets
Authors: Frederic Mishkin
10th Global Edition
0273765736, 978-0273765738
