Net salvage valueallen air lines must liquidate some, Ask an Expert

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Net Salvage Value

Allen Air Lines must liquidate some equipment that is being replaced. The equipment originally cost $12 million, of which 75% has been depreciated.

The used equipment can be sold today for $4 million, and its tax rate is 40%. What is the equipment's after-tax net salvage value?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92751476

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