answer a-e

Sphenicol Manufacturing roonily pont $14 million to purchase some equipment used in the manufacture of disk drives. This equipment no a CCA nito of 23% and Spherica's marginal corporwn to in a 35% a. What are the annual CCA deductions associated with this equipment for the first five years? b. What are the annual CCA tax shields for the first five years? e. What is the present value of the first five CCA tax shields if the appropriate discount rate is 12% per year? d. What is the present value of at the CCA tax shields assuming the equiment is never sold and the appropriate discount rate is 12% per you e. How might your answer to part (d) change it Spherical anticipates that is marginal corporate tax rate will increase substantially over the next five years? a. What are the annual CCA deductions associated with this equipment for the first five years? The CCA deduction for year in (Round to the nearest dollar)