(Appendix 13A and 13B) A company anticipates a tax-deductible cash expense of $40,000 in year 2 of a project. The company's tax rate is 30%, and its discount rate is 10%. What is the approximate present value of this future cash outflow? Do not round your intermediate calculations and round the final answer to the nearest whole dollar.) Multiple Choice $28,000. $23,140. $12,000. $9,917.

(Appendix 13A and 13B) A company anticipates a tax-deductible cash expense of $40,000 in year 2 of a project. The company's tax rate is 30%, and its discount rate is 10%. What is the approximate present value of this future cash outflow? Do not round your intermediate calculations and round the final answer to the nearest whole dollar.) Multiple Choice $28,000. $23,140. $12,000. $9,917.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 16EA: Project B cost $5,000 and will generate after-tax net cash inflows of $500 in year one, $1,200 in...

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