Crafter's Supply purchased some fixed assets 3 years ago at a cost of $44,000. It no longer
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Question:
Crafter's Supply purchased some fixed assets 3 years ago at a cost of $44,000. It no longer needs these assets so it is going to sell them today for $29,000. The assets are classified as 5-year property for MACRS. What is the after-tax cash flow from this sale if the firm's tax rate is 31 percent? Do not include the dollar sign ($). Round your answer to a whole dollar. (e.g., 4,132)
MACRS 5-year property | |
Year | Rate |
1 | 20.00% |
2 | 32.00% |
3 | 19.20% |
4 | 11.52% |
5 | 11.52% |
6 | 5.76% |
Related Book For
Accounting
ISBN: 978-0324662962
23rd Edition
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
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