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A construction company spends $2.5 million to purchase a new crane. The crane will have a capital cost allowance (CCA) rate of 40%. If the
A construction company spends $2.5 million to purchase a new crane. The crane will have a capital cost allowance (CCA) rate of 40%. If the opportunity cost of capital is 11%, and the company's marginal tax rate is 30%, what is the present value of the CCA tax shield?
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