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The cost of the machine is $12,801. The CCA rate is 27%. After 9 years, the machine is sold for $508 which is less
The cost of the machine is $12,801. The CCA rate is 27%. After 9 years, the machine is sold for $508 which is less than the UCC of the asset class. If there are other assets in the asset class, the discount rate is 9% and the tax rate is 40%, what is the present value of the CCA tax shield of this machine? (Assume 150%-rule)
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SOLUTION To calculate the present value of the CCA tax shield we need to determine the CCA tax shiel...
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
