A local pizza restaurant purchased a delivery truck for $35,000 with cash six and a half years ago. The vehicle has been depreciated straight line assuming a ten year life. It was sold yesterday for $16,700. If the appropriate tax rate is 35%, how much does the sale contribute to net income and cash flow?
A) $1,557.50; $15,142.50
B) $2,892.50; $15,142.50
C) $4,450; $12,412.50
D) $12,250; $12,412.50
B
Business
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