Question: 7 Maynard's Tools needs a computerized machine tool lathe which costs $81,238 and requires $9,332 in maintenance expense for each year of its 5-year life.

7 Maynard's Tools needs a computerized machine tool lathe which costs $81,238 and requires $9,332 in maintenance expense for each year of its 5-year life. After five years, this machine will be replaced. The machine falls into the MACRS5-year class life category. Assume a tax rate of 21 percent and a discount rate of 12 percent. If the lathe can be sold for $9,189 at the end of year 5, what is the after-tax salvage value? Below are the MACRS rates for the 5-year recovery period. DO NOT USE DOLLAR SIGNS OR COMMAS IN YOUR ANSWER. ENTER YOUR ANSWER TO THE NEAREST DOLLAR (e.g. 1250). Pr

Maynard's Tools needs a computerized machine tool lathe which costs $81,238 and requires $9,332 in maintenance expense for each year of its 5-year life. After five years, this machine will be replaced. The machine falls into the MACRS5-year class life category. Assume a tax rate of 21 percent and a discount rate of 12 percent. If the lathe can be sold for $9,189 at the end of year 5 . what is the after-tax salvage value? Below are the MACRS rates for the 5 -year recovery period. DO NOT USE DOLLAR SIGNS OR COMMAS IN YOUR ANSWER. ENTER YOUR ANSWER TO THE NEAREST DOLLAR (e.g. 1250)

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