(Solved)REVERSING RAPIDS CO PURCHASES AN ASSET FOR 156180(Solved) THIS ASSET


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REVERSING RAPIDS CO PURCHASES AN ASSET FOR 156180. THIS ASSET QUALIFIES AS A FIVE YEAR RECOVERY ASSET UNDER MACRS. THE 5 YEAR EXPENSE PERCENTAGES FOR YEARS 1,2,3,4 ARE 20,32,19.20, 11.52 RESPECTIVELY. REVERSING RAPIDS HAS A TAX RATE OF 30%. THE ASSET IS SOLD AT THE END OF YEAR 4 FOR 11633. CALCULATE AFTER TAX CASH FLOW AT DISPOSAL

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