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Hi, I need help with the following question with steps on how to solve it please! A construction company subject to 27% corporate tax rate
Hi, I need help with the following question with steps on how to solve it please!
A construction company subject to 27% corporate tax rate purchased a new bulldozer for $220,000. The CCA rate associated with this equipment is 30%. The expected annual revenue is $324,400, and operating costs are $96,000 per year. Find the amount paid in taxes in the first 2 years as well as the present worth of the overall after-tax profit (net income) earned under MARR = 5%.
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