McMurray Hatchery purchased a dump truck that cost $85,000. They also spent $8,000 to have the...
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McMurray Hatchery purchased a dump truck that cost $85,000. They also spent $8,000 to have the dump bed customized. The truck was depreciated using the 5-year MACRS schedule and McMurray has a 20 percent tax rate. McMurray sold the truck for $50,000 at the end of year four. Year 5-Year MACRS % 1 2 3 4 5 6 20.00 32.00 19.20 11.52 11.52 5.76 What was the after-tax salvage value for the truck? McMurray Hatchery purchased a dump truck that cost $85,000. They also spent $8,000 to have the dump bed customized. The truck was depreciated using the 5-year MACRS schedule and McMurray has a 20 percent tax rate. McMurray sold the truck for $50,000 at the end of year four. Year 5-Year MACRS % 1 2 3 4 5 6 20.00 32.00 19.20 11.52 11.52 5.76 What was the after-tax salvage value for the truck?
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