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Compute present worth. Remember to include section 179 deduction. thank you A small business purchases a used airplane for $1.200,000; this is considered MACRS 5-year

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Compute present worth. Remember to include section 179 deduction. thank you
A small business purchases a used airplane for $1.200,000; this is considered MACRS 5-year property. The business plans to keep the plane for the next 7 years. The business estimates that the equipment would generate annual time and travel savings of $300,000 per year. At the end of 7 years, the airplane would have a salvage value of $100,000. The tax rate is 25%, the aircraft is eligible for a Section 179 deduction, and that the small business uses an after-tax MARR of 11%. Compute the PW and determine whether the business should invest in the airplane Click here to access the TVM Factor Table calculator, Click here to access the MACRS-GDS Property Classes Click here to access the MACRS-GDS percentages page. Click here to access the MACRS-GDS percentages for 27.5-year residential rental property. A 122968.99

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