Montcalm Company is evaluating the purchase of a new machine that costs $$435,000,$ will have a CCA rate of $25\%,$ an estimated useful life of $10$ years and a $$15,000$ terminal disposal price. The company$$s marginal tax rate is $32\%.$ It is estimated that the machine will increase before tax profits by $$85,000$ annually. Montcalm requires a $10\%$ after tax rate of return. Based on the above information, calculate the tax shield.

Multiple Choice

$$90,076$

$$103,948$

$$95,511$

$$91,636$

None of the above