had planned on depreciating machinery that costs $300 million on a 4-year, straight-line basis. Supp

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 had planned on depreciating machinery that costs $300 million on a 4-year, straight-line basis. Suppose now they decide to depreciate the new machinery using MACRS for a five year life which means depreciation rates of 20%, 32%, 19%, 12%, 11% and 6% respectively for years 1-6. The project for which the machinery has been purchased ends in four years and the machinery is going to be sold at a salvage value of $50,000,000. Under this accelerated depreciation method, what is the after-tax cash flow expected to be generated by the sale of the equipment in Year 4? Assume the firmÕs tax rate is 40%. $31,800,000$41,600,000$50,400,000$51,600,000

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