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Consider an asset that costs $624,000 and is depreciated straight-line to zero over its eight-year tax life. The asset is to be used in a five-year project; at the end of the project, the asset can be sold for $173,000. If the relevant tax rate is 35 percent, what is the aftertax cash flow from the sale of this asset?

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Financial Management, Finance

Category:- Financial Management
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