Question: Problem 5 Part 4 Wiley E. Coyote is considering adding Al capabilities to his Roadrunner catching gizmos. Mr. Coyote expects that an investment of $250,000

 Problem 5 Part 4 Wiley E. Coyote is considering adding Al

Problem 5 Part 4 Wiley E. Coyote is considering adding Al capabilities to his Roadrunner catching gizmos. Mr. Coyote expects that an investment of $250,000 will produce an initial annual benefit of $75,000, but the benefits are expected to decline $3,500 per year, making second-year benefits $71,500, third-year benefits $68,000, and so forth. Wiley prefers to use straight-line depreciation, an 5-year useful life and no salvage value at the end of the 5 years. Mr. Coyote's company combined incremental tax rate is 36%. Instructions: Calculate the Depreciation Charge, Taxable income, Income Taxes, and After Tax Cash Flow for year 6 and enter in the spaces below the amounts. Note: Enter the answer in the format 1234.00 (using absolute values only; don't worry about negative values), without commas, or any symbol (e.g. $, +, -, etc.). Depreciation Charge Taxable income Income Taxes ATCF

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