Question
XYZ, Inc. purchased a new fixed asset that cost them $675,000 and the Accounting Department has indicated that it will use thestraight-line method of depreciation
XYZ, Inc. purchased a new fixed asset that cost them $675,000 and the Accounting Department has indicated that it will use thestraight-line method of depreciation with a useful life of8-years and no planned salvage value. This new fixedasset will be utilizedin a 6-year project.When this project is completed,thisasset will be able to be sold for $153,000. The appropriatetax rate is 23 percent.Calculate the appropriate amount forthe aftertax cash flow from the sale of this asset?(Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
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