A firm is investing in an equipment which falls in 5-years MACRS. The cost of the machine is $200,000 and the firm spent $20,000 for shipping, at the end of its life the machine could be sell for $30,000. If the firm is in 34% tax bracket compute the tax savings from depreciation in year-5. $ 14,960.00 $ 13,600.00 $ 11,333.33 $ 8,616.96 а. b. с. d.
A firm is investing in an equipment which falls in 5-years MACRS. The cost of the machine is $200,000 and the firm spent $20,000 for shipping, at the end of its life the machine could be sell for $30,000. If the firm is in 34% tax bracket compute the tax savings from depreciation in year-5. $ 14,960.00 $ 13,600.00 $ 11,333.33 $ 8,616.96 а. b. с. d.
Chapter10: Project Cash Flows And Risk
Section: Chapter Questions
Problem 10PROB
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