The asset is to be used in five-year project

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Consider an asset that costs $774,400 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 $136,600. If the relevant tax rate is 30 percent, what is the aftertax cash flow from the sale of this asset?

Reference no: EM131332443

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