Question: A machine is purchased for ( $ 5 5 , 0 0 0 ) and is used through the end of Year

A machine is purchased for \(\$ 55,000\) and is used through the end of Year 2. The machine will be depreciated using the 3-Year MACRS schedule. At the end of Year 2, the machine is sold for \(\$ 80,000\). What is the after-tax cash flow from the sale of the machine at the end of Year 2 if the firm's marginal tax \(20\%\)?

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