Problemkustom cars purchased a fixed asset two years ago, Ask an Expert

Finance

Problem:

Kustom Cars purchased a fixed asset two years ago for $39,000 and sold it today for $19,000. The assets are classified as 5-year property for MACRS. The MACRS table values are .2000, .3200, .1920, .1152, .1152, and .0576 for Years 1 to 6, respectively.

Required:

Question: What is the net cash flow from the salvage value if the tax rate is 35 percent?

$18,020
$19,098
$18,720
$18,902
$19,000

Note: Please provide full description.

View complete question

Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91175183

Have any Question?Write your Review or question?

Related Questions in Basic Finance

Abc company has projected sales of 19810 in january the

ABC Company has projected Sales of $19810 in January. The sales are expected to grow by 10% each month. ABC's collection schedule is as follows: ABC collects 88 percent of its sales in the month of sale and the remainder ...

Question - you purchase a machine for 100000 such machine

Question - You purchase a machine for $100,000. Such machine has a 3-year MACRS classification. If the machine is sold at the end of the second year for $45,000, what are the after-tax proceeds from the sale, assuming yo ...

Question - find an australian house or apartment that you

Question - Find an Australian house or apartment that you would like to research. From here on this will be referred to as a house or property or home regardless of whether it is a house or apartment. The house can be an ...

1 the following data are given for the allright

1. The following data are given for the Allright Corporation: Initial cost of proposed equipment $75,000 Estimated useful life ...

Question - sports and leisure - the daytona 500 often

Question - Sports and Leisure - The Daytona 500, often referred to as The Great American Race, is a spectacular sporting event, complete with a pre-race show. Jimmie Johnson won this race in 2013, when the mean speed per ...

What are some key factors needed for consideration in

What are some key factors needed for consideration in choosing a business location and why is location a key finance factor for most businesses?

What is inventory and why is it important for your business

What is inventory and why is it important for your business, investors or potential lenders?

In 1896 the first us open golfnbspchampionship was held the

In 1896, the first U.S. Open Golf Championship was held. The winner's prize money was $160. In 2012, the winner's check was $1,360,000. Requirement 1: What was the annual percentage increase in the winner's check over th ...

What is interest rate parity the international fisher

What is Interest Rate Parity, the International Fisher Effect, and international arbitrage opportunities with interest and currency exchange rates.

1 what special problem do off-balance-sheet activities

1. What special problem do off-balance-sheet activities present to bank regulations? (200words) 2. With respect to off-balance-sheet activities, what have bank regulator done about it? (200words)

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Basic Finance Expert