XYZ, Inc. purchased a new fixed asset that cost them $685,000 and the Accounting Department has indicated that it will use the straight-line method of depreciation with a useful life of 9-years and no planned salvage value. This new fixed asset will be utilized in a 6-year project. When this project is completed, this asset will be able to be sold for $165,000. The appropriate tax rate is 25 percent. Calculate the appropriate amount for the aftertax cash flow from the sale of this asset?
Get Answers For Free
Most questions answered within 1 hours.