You purchase a machine for $50,000, depreciated straight-line to a salvage value of $20,000 over its 6 year life. If the machine is sold at the end of the 6th year for $27,000, what is the after-tax cash flow from the sale, assuming your tax rate is 40%?
A. $21,200
B. $22,200
C. $24,200
D. $25,200
2 answers