Question: Pear Orchards is evaluating a new project that will require equipment of $249,000. The equipment will be depreciated on a 5 . year MACRS schedule.

 Pear Orchards is evaluating a new project that will require equipment
of $249,000. The equipment will be depreciated on a 5 . year

Pear Orchards is evaluating a new project that will require equipment of $249,000. The equipment will be depreciated on a 5 . year MACRS schedule. The annual depreciation percentages are 20.00 percent, 32.00 percent, 19.20 percent, 11.52 percent, and 11.52 percent, respectively. The company plans to shut down the project after 4 years. At that time, the equipment could be sold for $67,100. However, the company plans to keep the equipment for a different project in another state The tax rate is 21 percent. What aftertax saivage value should the company use when evaluating the current project? Multiple Choice $67100 50 $67,100 $0 $72,155 $43,027 $62,045

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