An asset is purchased for $100 000. It depreciates at 20% per year. After 10 years it will be sold for salvage for $10 700. If the company is taxed

An asset is purchased for $100 000. It depreciates at 20% per year. After 10 years it will be sold for salvage for $10 700. If the company is taxed at 50% and has an after-tax MARR of 10%, what is the present worth of this sale in the year of purchase?
A)$1 374
B)$2 177
C)$2 747
D)$4 125
E)$7 126

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