Your company purchased equipment for $600,000 . It will last for 8 years with no salvage value.
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Question:
Your company purchased equipment for $600,000 . It will last for 8 years with no salvage value. The companys marginal tax rate is 35% . Required return rate is 13% .
The CCA rate is 55% Required: what is the present value of the CCA tax shield?
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