Your Company is considering a new project that will require $1,070,000 of new equipment at the start of the project. The equipment will have a depreciable life of 9 years and will be depreciated to a book value of $309,500 using straight-line depreciation. The cost of capital is 12%, and the firm's tax rate is 40%. Estimate the present value of the tax benefits from depreciation (closest to).

$84,500

$50,700

$33,800

$180,095