The Wise Co. purchased a new truck two years ago for $129,501. The truck belongs in CCA class 10, a 30% class. The company is in the 34% marginal tax bracket. Today the company received an offer
Of $74,900 for the truck. What will be the net cash flow from the sale if the company decides to sell
The truck today and if the CCA pool is terminated as a result of the sale?
A) $24,615
B) $50,285
C) $62,160
D) $66,492
E) $75,632
Correct Answer:
Verified
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