Wong Exporters purchased an $89,000 truck that belongs in CCA class 10 (a 30% class) . The company has a marginal tax rate of 33% and a discount rate of 12%. After 3 years, the company
Expects to sell the truck for $36,501. What is the after-tax salvage value at the time of the intended
Sale? (Assume that Wong owns several other vehicles.)
A) $35,006
B) $35,600
C) $36,203
D) $36,634
E) $37,697
Correct Answer:
Verified
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