20 00 8 pem ebook A Prin Brief Exercise 12-26 (Algo) A company purchases an asset that costs... [LO 12-5] A company purchases an asset that costs $22.000. This asset qualifies as three-year property under MACRS The company uses an after-tax discount rate of 10% and faces a 35% income tax rate. (Use Table 1. Table 2 and Exhibit 12.4) 1. Demonstrate that the PV of the depreciation deductions, when the income tax rate is 35%, is $6,406 Given an after-tax discount rate of 10% what tax rate would be needed in order for the PV of the depreciation deductions to equal $7700? Use the Goal Seek function of Excel 2. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Demonstrate that the PV of the depreciation deductions, when the income tax rate is 35%, is $6,406. (Do net round intermediate calculations Round a dollar amounts to 2 decimal places.) Year MACRSS 1 2 2 Depreciation Deduction % 4 % Tax Savings PV Factur Pres Values Required 2>