An asset used in a 4-year project falls in the 5-year macrs, Financial Management

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An asset used in a 4-year project falls in the 5-year macrs

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 $17,100,000 and will be sold for $3,800,000 at the end of the project.

Required:

If the tax rate is 34 percent, what is the aftertax salvage value of the asset?

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Financial Management: An asset used in a 4-year project falls in the 5-year macrs

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Financial Management: An asset used in a 4-year project falls in the 5-year macrs

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