Power Manufacturing has equipment that it purchased 6 years ago for $2,300,000. The equipment was used for a project that was meant to last 8 years. However, due to low demand, the project is being shut down. The equipment was depreciated using the straight-line method and can be sold today for $350,000. The business tax rate is 34 percent. What is the after-tax salvage value of the equipment?

Answer rating: 100% (QA)

1 Salvage Value 350000 2 Less WDV at the end of year 6 Cost of acq... View the full answer