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Year 0 Year 1 Year 2 Year 3 14.29% 24.49% 17.49% 12.49% Year 4 8,93% Year 5 8.92% Year 6 8.93% Year 7 4.46% MACRS

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Year 0 Year 1 Year 2 Year 3 14.29% 24.49% 17.49% 12.49% Year 4 8,93% Year 5 8.92% Year 6 8.93% Year 7 4.46% MACRS Depreciation Rate A textile company invests $11 million in an open-end spinning machine. This was depreciated using the seven-year MACRS schedule shown above. If the company sold it immediately after the end of year 3 for $7 million, what would be the after-tax cash flow from the sale of this asset, given a tax rate of 35%? O A. $5,752,600 O B. $3,564,000 O c. $3,436,000 OD. $1,247,400 ? Click to select your

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