A company anticipates a taxable cash expense of $80,000 in year 2 of a project.The company's tax rate is 30% and its discount rate is 10%.The present value of this future cash flow is closest to:
A) $(56,000)
B) $(19,835)
C) $(46,281)
D) $(24,000)
Correct Answer:
Verified
Q1: Last year the sales at Jersey Company
Q3: A company anticipates a taxable cash receipt
Q4: Last year the sales at Seidelman Company
Q5: The release of working capital at the
Q6: The after-tax cost of a deductible cash
Q7: Last year the sales at Summit Company
Q8: Superstrut is considering replacing an old press
Q9: Not all cash inflows are taxable.
Q10: In an equipment selection capital budgeting decision,which
Q11: Suppose a machine costs $20,000 now,has an
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents