Problem:
An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for tax purposes. The asset has an acquisition cost of $17,670,000 and will be sold for $3,990,000 at the end of the project.
Required:
Question: If the tax rate is 34 percent, what is the aftertax salvage value of the asset?
Note: Please show guided help with steps and answer.