The Jones Company has just completed the third year of a five-year MACRS recovery period for a piece of equipment it originally purchased for $298,000. a. What is the book value of the equipment? b. If Jones sells the equipment today for $179,000 and its tax rate is 21%, what is the after-tax cash flow from selling it? Note: Assume that the equipment is put into use in year 1. a. What is the book value of the equipment? The book value of the equipment after the third year is $ (Round to the nearest dollar) b. If Jones sells the equipment today for $179,000 and its tax rate is 21%, what is the after-tax cash flow from selling it? The total after-tax proceeds from the sale will be $. (Round to the nearest dollar.)

The Kings Inn Resort purchased three delivery carts 5 years ago. The delivery carts initially cost $60,000 and are depreciated on a straight line basis over 10 years.  The effective tax rate for the company is 40%.   Part A: What is the net cash flow if they sell the used carts for $36,000? Part B: What are the net cash flows if they sell the used carts for $30,000? Part C: What is the net cash flow if they sell the used carts for $25,000

Troy Industries purchased a new machine 3 ​year(s) ago for $80,000. It is being depreciated under MACRS with a​ 5-year recovery period using the schedule.. Assume 21% ordinary and capital gains tax rates. What is the book value of the​ machine? b. Calculate the​ firm's tax liability for each case if it sold the machine for each of the following​ amounts: $ 100,000, 56,000 , 23,200 and $ 15,000

Eskom, Inc. has 4-year project in South Africa with an annual operating cash flow of $47,500. Eskom spent $21,600 on an Electricity Supply Solar Tower to start the project. At the end of the project, the Electricity Supply Solar Tower will have a book value of $4,340, but can be salvaged for $5,430. If Eskom’s tax rate is 35%, what is the cash flow in Year 4? Note: Net working capital of $3,850 was needed at the start of the project. That money will be recovered at the end of the project. a. $48,699 b.$57,162 c. $54,880 d. $56,399 e. $18,392

Gold  Inc. sold the rights to use one of its patented processes that will result in cash receipts of $2,500 at the end of each of the next four years and a lump sum receipt of $4,000 at the end of the fifth year. The total present value of these payments if interest is at 9% is: Choose the closest answer. A) $14,000. B) $11,468. C) $12,100.                                       D) $10,699.   PVA  9% 4 pds 3.23972, PVA  9% 5 pds 4,58720 PV 1  9%  4 pds  .72451   . PV 1 %    5 pds   .64993