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The fixed assets of a 10-year project cost $600,000, which will be depreciated straight-line over 10 years. At the end of the project, the asset
The fixed assets of a 10-year project cost $600,000, which will be depreciated straight-line over 10 years. At the end of the project, the asset can be sold for $50,000. If the tax rate is 20%, how much is the annual depreciation to be used for capital budgeting?
55,000
48,000
60,000
50,000
9,000
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