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A new distribution center requires an initial investment of $32 million. But for capital budgeting purposes,...

A new distribution center requires an initial investment of $32 million. But for capital budgeting purposes, financial analysts believe the facility would have a market value of about $25 million at the end of a five-year planning period. The company's tax rate is 32.0%, and depreciation is determined using the MACRS factors for 7 years. (See the table below). What is the projected cash flow from salvage for the end of the five-year planning period?

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