urchase a machine for $200,000 which belongs in a 30% CCA class. What is the present value of the CCA tax shield on the machine if it is sold at the end of the fifth year for $50,000, your tax rate is 35%, and the appropriate discount rate is 10%? Select one: a. $41,964 b. $46,202 c. $66,623 d. $86,994 e. $52,215

urchase a machine for $200,000 which belongs in a 30% CCA class. What is the present value of the CCA tax shield on the machine if it is sold at the end of the fifth year for $50,000, your tax rate is 35%, and the appropriate discount rate is 10%? Select one: a. $41,964 b. $46,202 c. $66,623 d. $86,994 e. $52,215

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 44P

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