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Your company just bought a new distillation unit for $160,000 to be used in R&D. Such equipment has a 3-year MACRS classification. What is the
Your company just bought a new distillation unit for $160,000 to be used in R\&D. Such equipment has a 3-year MACRS classification. What is the book value of the distillation unit at the end of year 2 assuming salvage value of 50 ? Selected answer will be automatically saved, For heyboard navigation, press upldown arrow heys to select an answer. a $18,892 b $35,568 c $39,998 d $46,664 e $88,896 Question 35 Use the information below to answer the next two questions. what is the value of the tax shield in each period from the investment in the process? You are considering investing in a process that promises to save you $55 per year (Sales - Costs). The process has an expected life of 4 years with an initial cost of 580 . This cost is straight line depreciated over 4 years. Assume a 34% tax bracket and a discount rate of 15%
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