A project has sales of $49,000, costs of $38,000, depreciation of $6,000, interest expense of $300, and a tax rate of 30 percent. What is the value of the depreciation tax shield?

a.

$1,800

b.

$1,500

c.

$4,500

d.

$4,200

e.

$1,645a.

$1,800

b.

$1,500

c.

$4,500

d.

$4,200

e.

$1,645