Multiple Choice
An asset with a book value of $320,000 is sold at a $240,000 pre-tax gain in a year when the tax rate is 20%.A _____ is the tax effect of the gain.
A) $144,000 cash outflow
B) $656,000 cash outflow
C) $224,000 cash outflow
D) $48,000 cash outflow
Correct Answer:
Verified
Correct Answer:
Verified
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