A firm buys a piece of equipment for $129,476.00 and will straight-line depreciate it to zero over five years. If the tax rate is 37.00%, what is the present value of the depreciation tax shield if the cost of capital is 10.00%?

An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $6,149,514.00 and will be sold for $1,624,584.00 at the end of the project (End of the 4th year). If the tax rate is 39.00%, what is the after-tax salvage value of the asset?