9. The Lumber Yard is considering a 5-year project that requires initial investment of $96,000 in fixed assets that will be depreciated using the straight-line method to a zero over its 6-year tax life. The company has a marginal tax rate of 32%. If the fixed assets can be sold at $20,000 at the end of the project, how much is the after tax salvage value? A. $5,120 B. $17,280 C. $13,160 D. $25,440

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.