Determining the net after-tax cash flow


The Hanky Funeral Home is South Park, Colorado is considering whether to replace one of their existing Lincoln Hurse's. If the new Lincoln Hurse is purchased, the existing Lincold Hurse will be sold to another funeral home for $50,000. The existing Hurse book value equals $65,000. What will be the net after-tax cash flow that is generated from the disposal of the existing hurse? The company's Marginal tax rate is 40%.

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Finance Basics: Determining the net after-tax cash flow
Reference No:- TGS040284

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