The following information applies to the questions displayed below The Terme Corporation is contemplating the purchase of new equipment, which may potentially increase revenues by 25%. Currently, sales are $850,000 per year and variable costs are 60% of sales. The equipment is expected to last for 6 years with no residual value. The cash outflow expected at the beginning of the year is $435,000. What is the amount of depreciation deduction the company could expense annually assuming the straight - line depreciation method is usec Multiple Choice $72,500 $85,000 $29,000 $43,500