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What is the aftertax cash flow from the sale of the asset

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Problem 1: Consider an asset that costs $184,800 and is depreciated straight-line to zero over its 9-year tax life. The asset is to be used in a 4-year project; at the end of the project, the asset can be sold for $23,100. If the relevant tax rate is 23 percent, what is the aftertax cash flow from the sale of this asset?

A. $43,470.35
B. $41,400.33
C. $240,945.00
D. $39,330.31
E. $17,787.00

Reference no: EM132856507

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