Response to the following problem:
Talias Tutus bought a new sewing machine for $70,000 that will be depreciated using the MACRS depreciation schedule for a 5-year recovery period.
a. Find the depreciation charge each year.
b. If the sewing machine is sold after 3 years for $30,000, what will be the after-tax proceeds on the sale if the firms tax bracket is 35%?