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please help Telstar Communications is going to purchase an asset for $760,000 that will produce $370,000 per year for the next four years in earnings
please help Telstar Communications is going to purchase an asset for $760,000 that will produce $370,000 per year for the next four years in earnings before depreciation and taxes. The asset will be depreciated using the three-year MACRS depreciation schedule in Table 12 12. (This represents four years of depreciation based on the half-year convention.) The firm is in a 25 percent tax bracket. Fill in the schedule below for the next four years. Year 1 Year 2 Year 3 Year 4 $ os os ols 0 Earnings before depreciation and taxes Depreciation Earnings before taxes Taxes Earnings after taxes Depreciation Cash flow $ 05 05 os 0 $ 05 0 $ OS 0
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