What is the equipments after-tax net salvage value
Course:- Financial Management
Reference No.:- EM131051130

Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Financial Management

Net Salvage Value

Allen Air Lines must liquidate some equipment that is being replaced. The equipment originally cost $19 million, of which 85% has been depreciated. The used equipment can be sold today for $6.65 million, and its tax rate is 35%. What is the equipment's after-tax net salvage value? Write out your answer completely. For example, 2 million should be entered as 2,000,000.

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Financial Management) Materials
You owe $2,348.62 on a credit card with an 8.75% APR. You pay $300.00 toward the card at the beginning of the month. What is the difference in interest accrued compared with i
Lenders probably have the most interest in which one of the following sets of ratios? Return on assets and profit margin. Long-term debt and times interest earned. Price-earni
A 8-year bond has a par value of $1,000 and a coupon rate of 5 percent. During the first six months after the bond was Issued, the inflation rate was 1.3 percent. By how much
Does the PepsiCo program challenge existing assumptions about what leaders should be in such a way as to empower a more self-directed and self-selected leadership development
(Capital Asset Pricing Model) CSB, Inc. has a beta of 0.765. If the expected market return is 10.5 percent and the risk-free rate is 3.5 percent, what is the appropriate expec
Luxury boxes have been constructed at a football stadium at a cost of $4,000,000 paid at EOM 0. In addition to construction, heavy maintenance is expected to occur every 24 mo
Suppose Cisco System pays no dividends but spent $5 billion on share repurchases last year. If Cisco’s equity cost of capital is 12%, and if the amount spent on repurchases is
EAC Approach You are considering the purchase of one of two machines used in your manufacturing plant. Machine A has a life of two years, costs $80 initially, and then $125 pe