Details of this Paper

Your firm purchased machinery with a 7-year MACRS...

Description

Solution


Question

Your firm purchased machinery with a 7-year MACRS life for $10.3 million. The project, however, will end after 5 years. If the equipment can be sold for $4.8 million at the completion of the project, and your firm?s tax rate is 30%, what is the after-tax cash flow from the sale of the machinery? Use MACRS depreciation schedule. (Enter your answer in millions rounded to 4 decimal places.) After-tax cash flow:

 

Paper#10071 | Written in 18-Jul-2015

Price : $25
SiteLock