Acme Manufacturing makes their preliminary economic studies using a before-tax MARR of 17%.More detailed studies are performed

Question

4 years ago

14

on an after-tax basis. If their effective tax rate is 22%, what is the after-tax MARR?

1 answer:

VMariaS [17] · Answer 1 · 2021-12-15T12:36:18+03:00

7 0

Answer:

The after-tax MARR is 13.26%

Explanation:

After - tax MARR = Before tax MARR*(1 - tax rate)

= 17%*(1 - 22%)

= 13.26%

Therefore, The after-tax MARR is 13.26%

Acme Manufacturing makes their preliminary economic studies using a​ before-tax MARR of 17​%.More detailed studies are performed