What is PW(15%)

An injection molding machine can be purchased and installed for $100,000. It is in the seven-year GDS property class and is expected to be kept in service for eight years. It is believed that $8,000 can be obtained when the machine is disposed of at the end of year eight. The net annual value added i.e., revenues less expenses) that can be attributed to this machine is constant over eight years and amounts to $14.000. An effective income tax rate of 40% is used by the company, and the after-tax MARR equals 15% per year. More Info Click the icon to view the GDS Recovery Rates (rk) for the 7-year property class. 8920 8930 4460 GDS Recovery Ratos (r) Year 7-year Property Class c. What is the taxable income at the end of year eight that is related to capital investment? The taxable income at the end of year eight is S 8000. (Round to the nearest dollar.) d. Set up a table and calculate the ATCF for this machine. (Round to the nearest dollar.) 0.1429 0.2449 0.1749 0.1249 0.0893 0.0892 0.0893 0.0446 EOY BTCF, $Depreciation, $ - 100,000 140001 142901 ATCF, $ - 100,000100,000 [13884] TI, S T(40%), $ PW(15%), $ 2901 E116] PrintDone