Young Company received $18,000 cash from the sale of a machine that had a $13,000 book value. If the company is subject to a 30% income tax rate, the net cash flow to use in a discounted-cash-flow analysis would be:

A. $19,500.
B. $6,500.
C. $3,500.
D. $16,500.
E. $12,600.


Answer: D

Business

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