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,9 Jamie purchased $100,000 of new office furniture for her business in June of the current year. Jamie understands that if she elects to use

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,9 Jamie purchased $100,000 of new office furniture for her business in June of the current year. Jamie understands that if she elects to use ADS to compute her regular income tax, there will be no difference between the cost 52. LO.2, 5,9 Jamie purchased $100,000 of new office furniture for her business in recovery for computing the regular income tax and the AMT Jamie wants to know the present value of the tax cost, after three years, of using ADS rather than MACRS. Assume that Jamie does not elect 179 expensing, she does not claim any additional first-year depreciation, and her marginal tax rate is a. 28%. See Appendix H for present value factors, and assume a 6% discount rate b. What is the present value of the tax savings/costs that result over the life of the asset if Jamie uses MACRS rather than ADS

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