Sunshine travel inc is a producer of upright suitcases. ST needs to invest $35,000,000 in equipment which
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Sunshine travel inc is a producer of upright suitcases. ST needs to invest $35,000,000 in equipment which will be depreciated on a seven-year MARCS schedule. The value of the used equipment is expected to be worth $3,800,000 as at the end of the 5 year project life.
Estimation of the total Year 5 cash flows
at the end of the projects 5-year life
Accumulated depreciation of equipment = $27191500
Book value of equipment= $7808500
Market value of equipment= $38000000
Tax associated with the sale of equipment = ???
CF on sale of equipment= ???????????
Related Book For
Advanced Accounting
ISBN: 978-0538480284
11th edition
Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng
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