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A project requires fixed assets of $875,000 that will be depreciated on a 5-year MACRS schedule. The annual depreciation percentages are 20.00%, 32.00%, 19.20%, 11.52%,

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A project requires fixed assets of $875,000 that will be depreciated on a 5-year MACRS schedule. The annual depreciation percentages are 20.00%, 32.00%, 19.20%, 11.52%, 11.52%, and 5.76%, respectively. The company has a tax rate of 32 percent. What is the depreciation tax shield for Year 3

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