Answer:
$240,000
Explanation:
National geographic is replacing an old printing machine with a new one
The old printing machine is sold at the price of $350,000
It has a net book value of $75,000
The income tax is 40%
= 40/100
=0.4
The first step is to calculate the taxable value
= $350,000-$75,000
= $275,000
Income tax= taxable value×tax rate
= $275,000×0.4
= $110,000
Therefore, the net from sales can be calculated as follows
= $350,000-$110,000
= $240,000
Hence the net from sale of National Geographic is $240,000
