What is the net cash outflow for the new machine

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Question - Firm X is considering the replacement of an old machine with one that has a purchase price of $70,000. The current market value of the old machine is $25,000 but the look value is $32,000. The firm's tax rate is 30%. What is the net cash outflow for the new machine after considering the sale of old machine?

Reference no: EM132939946

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