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Net Salvage Value Allen Air Lines must liquidate some equipment that is being replaced

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Net Salvage Value Allen Air Lines must liquidate some equipment that is being replaced. The equipment originally cost $9 million, of which 80% has been depreciated. The used equipment can be sold today for $3 million, and its tax rate is 25%. What is the equipment's after-tax net salvage value? Enter your answer in dollars. For example, an answer of $1.2 million should be entered as 1,200,000. Round your answer to the nearest dollar. 

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Equipment cost 9000000

Depreciation provided till date is 80% = 9000000*80% =7200000

Book value = Cost - accumulated Depreciation

=9000000-7200000

=1800000

Salvage value= 3000000

Capital gain = Sale Value- Book value

=3000000-1800000

=1200000

Tax @25% of capital gain= 1200000*25% = 300000

Aftertax salvage value formula = Salvage Value - tax paid on capital gain

=3000000-300000

=2700000