A firm depreciated its assets with regard to an investment to $0.00 book value by the end of the project's 15 year life.   However, the firm expects to sale the assets to have a scrap market value of $1,200,000 in 15 years. What is the PV of the after-tax salvage value if r = 14% per year, and the firm's tax rate is 28%?

Answer rating: 100% (QA)

To calculate the present value PV of the aftertax salvage value well first find the future value FV ... View the full answer