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Assignment 2 Salvage Value: You own some equipment that you purchased 4 years ago at a cost of $216,000. The equipment is 5-year property for MACRS.
I NEED HELP IN THIS ASSIGHNMENT, DID NOT KNOW HOE TO SOLVE ITQ:1Salvage Value:You own some equipment that you purchased 4 years ago at a cost of $216,000. The equipment is 5-year property for MACRS. You are considering selling the equipment today for $75,500. Compute the after tax salvage value in year 4?Q:2Replacement Decision: Should the company take this decision? Why? Original Machine–