What is the expected after - tax cash flow from selling a piece of equipment if Probst purchases the equipment today for $548, 860.00, the tax rate is 39.9 percent, the equipment will be sold in 3 years for $98, 800.00, and the equipment will be depreciated to $72, 600.00 over 12 years using straight - line depreciation? $106, 885.74 (plus or minus $10) $262, 538.29 (plus or minus $10) - $72, 688.20 (plus or minus $10) $230,867.00 (plus or minus $10) None of the above is within $10 of the correct answer 00000$262,538.29 (plus or minus $10)-$72,688.20 (plus or minus $10)$230,867.00 (plus or minus $10)None of the above is within $10 of the correct answerWhat is the expected after-tax cash flow from selling a piece of equipment if Probst purchases the equipment today for $548,860.00, the tax rate is 39.9 percent, theequipment will be sold in 3 years for $98,800.00, and the equipment will be depreciated to $72,600.00 over 12 years using straight-line depreciation?$106,885.74 (plus or minus $10)

In a straight line depreciation method annual depreciation will be charged equally per year.

What is the expected after-tax cash flow from selling a piece of equipment if Probst purchases the equipment today for $548,860.00, the tax rate is 39.9 percent, the equipment will be sold in 3 years for $98,800.00, and the equipment will be depreciated to $72,600.00 over 12 years using straight-line depreciation? O $106,885.74 (plus or minus $10) $262,538.29 (plus or minus $10) -$72,688.20 (plus or minus $10) $230,867.00 (plus or minus $10) None of the above is within $10 of the correct answer

What is the expected after-tax cash flow from selling a piece of equipment if Probst purchases the equipment today for $548,860.00, the tax rate is 39.9 percent, the equipment will be sold in 3 years for $98,800.00, and the equipment will be depreciated to $72,600.00 over 12 years using straight-line depreciation? O $106,885.74 (plus or minus $10) $262,538.29 (plus or minus $10) -$72,688.20 (plus or minus $10) $230,867.00 (plus or minus $10) None of the above is within $10 of the correct answer

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter10: Project Cash Flows And Risk

Section: Chapter Questions

Problem 5PROB

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