Josephine Company purchases five-year MACRS property in mid-year for $12,000.What is its after-tax cost of this asset if it has a 35 percent tax rate and uses a 6 percent discount rate for project evaluation? No Section 179 expensing or bonus depreciation is claimed for this property.

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The Answer of Josephine Company purchases five-year MACRS property in mid-year for $12,000.What is its after-tax cost of this asset if it has a 35 percent tax rate and uses a 6 percent discount rate for project evaluation? No Section 179 expensing or bonus depreciation is claimed for this property.

Josephine Company Purchases Five-Year MACRS Property in Mid-Year for $12,000