Depreciated straights-line to zero over eight year tax life

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Consider an asset that costs 640,000 and is depreciated straights-line to zero over its eight year tax life. the asset is to be used in a five year project; at the end of the project that asset can be sold for 175,000. If the relevant tax rate is 35%, what is the after tax cash flow from the sale of this asset?

Reference no: EM13911818

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