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For a typical $ 1 8 0 , 0 0 0 investment in equipment with a five - year life and no salvage value, determine
For a typical $ investment in equipment with a fiveyear life and no salvage value, determine the present value of the advantage resulting from the use of doubledeclining balance depreciation as opposed to straightline depreciation. Assume an income tax rate of and a discount rate of Also assume that there will be a switch from doubledeclining balane to straightline depreciation in the fourth year. Note: Round your answers below to the nearest whole dollar. Present value of doubledeclining balance tax shield table
For a typical $ investment in equipment with a fiveyear life and no salvage value, determine the present value of the advantage resulting from the use of doubledeclining balance depreciation as opposed to straightline depreciation. Assume an income tax rate of and a discount rate of Also assume that there will be a switch from doubledeclining balane to straightline depreciation in the fourth year.
Note: Round your answers below to the nearest whole dollar.
Present value of doubledeclining balance tax shield
table
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