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You are evaluating a potential purchase of several light - duty trucks. The initial cost of the trucks will be $ 1 9 6 ,
You are evaluating a potential purchase of several lightduty trucks. The initial cost of the trucks will be $ The trucks fall in the MACRS year class that allows depreciation of the first year, the second year, the third year, the fourth year, the fifth year, and the sixth year. You expect to sell the trucks for at the end of five years. The expected revenue associated with the trucks is $ per year with annual operating costs of $ The firm's marginal tax rate is What is the aftertax cash flow associated with the sale of the equipment?
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