Aftertax cash flow from the sale of the asset

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Reference no: EM13143701

Consider an asset that costs $780,000 and is depreciated straigh-line to zero over its eight-year tax life. The aset is to be used in a five-year project; at teh end of the project, the asset can be sold for $135,000. If the relevant tax rate is 35 percent, what is the aftertax cash flow from the sale of this asset?

Reference no: EM13143701

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Aftertax cash flow from the sale of the asset : Consider an asset that costs $780,000 and is depreciated straigh-line to zero over its eight-year tax life. The aset is to be used in a five-year project; at teh end of the project, the asset can be sold for $135,000. If the relevant tax rate is 3..

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