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NEED ALL 3 REQUIREMENTS. Chapter 16 Saved 2 Sharpe Machining Company purchased industrial tools costing $240,000, which fall in the 3-year property class under MACRS.

image text in transcribedNEED ALL 3 REQUIREMENTS.

Chapter 16 Saved 2 Sharpe Machining Company purchased industrial tools costing $240,000, which fall in the 3-year property class under MACRS. Use Appendix A and Exhibit 16-9. for your reference. (Use appropriate factor(s) from the tables provided.) 10 Required: points Prepare a schedule of depreciation deductions assuming: a. The firm uses the accelerated depreciation schedule specified by MACRS. b. The firm uses the optional straight-line depreciation method and the half-year convention. 2. Calculate the present value of the depreciation tax shield under each depreciation method listed in requirement (1). Sharpe Machining Company's after-tax hurdle rate is 6 percent, and the firm's tax rate is 30 percent. eBook Print Complete this question by entering your answers in the tabs below. References Req 1A Rea 1B Req 2 ses the accelerated depreciation schedule specified by MACRS. (Round your final answers the nearest dollar amount.) Accelerated Year Depreciation 1 2 Req 1B Req 1A

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