explain step by step: Use the following to answer questions $10-11$ :

Your firm is thinking about purchasing a new machine. The new machine would cost $$4,500,000$

today. The new machine would operate for $4$ years at which time it could be sold for $$900,000.$

The CCA rate is $30\%.$ The asset class will remain open. The new machine will generate revenues

of $$1,750,000$ per year. The annual operating costs associated with the new machine are

$$1,100,000$ per year. The corporate tax rate is $45\%.$ The required rate of return is $9\%.$

What is the present value of the salvage value for this investment?

A$)$ $$286,912\mathrm{.}21$

B$)$ $$637,582\mathrm{.}69$

C$)$ $$779,267\mathrm{.}73$

D$)$ $$350,670\mathrm{.}50$

E$)$ $$414,556\mathrm{.}84$

What is the present value of the CCA tax shield? Be certain to include any necessary

adjustments due to salvage value.

A$)$ $$1,272,682\mathrm{.}21$

B$)$ $$1,336,990\mathrm{.}61$

C$)$ $$1,493,383\mathrm{.}91$

D$)$ $$1,246,153\mathrm{.}85$

E$)$ $$1,181,845\mathrm{.}45$