Multiple Choice
A company anticipates incremental net income (i.e., incremental taxable income) of $50,000 in year 4 of a project. The company's tax rate is 30% and its after-tax discount rate is 12%. The present value of this future cash flow is closest to:
A) $22,260
B) $35,000
C) $9,533
D) $15,000
Correct Answer:
Verified
Correct Answer:
Verified
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