Equipments after tax net salvage value


Allen air lines is now in the terminal year of a project. The equipment originally cost $20 million, of which 80% has been depreciated. Carter can sell the used equipment today to another airline for $5 million, and its tax rate is 40%. What is the equipments after tax net salvage value? Show work.

Solution Preview :

Prepared by a verified Expert
Finance Basics: Equipments after tax net salvage value
Reference No:- TGS0671266

Now Priced at $5 (50% Discount)

Recommended (94%)

Rated (4.6/5)