A corporation is evaluating the relevant cash flows for a capital budgeting decision and must estimate the terminal cash flow. The proposed machine will be disposed of at the end of its usable life of five years at an estimated sale price of $2,000
The machine has an original purchase price of $80,000, installation cost of $20,000, and will be depreciated under the five-year MACRS. Net working capital is expected to decline by $5,000. The firm has a 40 percent tax rate on ordinary income and long-term capital gain. The terminal cash flow is ________.
A) $5,800
B) $7,800
C) $8,200
D) $6,200
C
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The word "strategy" originates from the Greek word strategos, meaning "_____."
A. ahead B. general C. task D. vision
________ consists of laws that regulate particular industries
A) An independent federal administration B) General government regulation C) Specific government regulation D) A statement of policy
A person who is ________ is most likely to seek a permanent visa from the host nation
A. studying as an exchange student B. officially representing another country C. visiting a country as a tourist D. applying for nationalization
Which of the following journal entries would be recorded if a business renders service and receives cash of $900 from the customer?
A) Service Revenue 900 Cash 900 B) Service Revenue 900 Accounts Payable 900 C) Cash 900 Service Revenue 900 D) Service Revenue 900 Accounts Receivable 900