The equipments after-tax net salvage value

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Net Salvage Value

Allen Air Lines must liquidate some equipment that is being replaced. The equipment originally cost $20 million, of which 80% has been depreciated. The used equipment can be sold today for $7 million, and its tax rate is 35%. What is the equipment's after-tax net salvage value? Write out your answer completely. For example, 2 million should be entered as 2,000,000.

Reference no: EM131063717

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