First cost of equipment = $150,000Market value at the end of year 6 = $30,000MACRS depreciation is used. The equipment is a 5-year property. Incremental income-tax rate for the company = 35% Reference: Case Study 12The first-year after tax-cash flow is _____________.
A. $53,000
B. $40,000
C. $27,000
D. $33,000
