ABC Inc is considering adding a new product line that is expected to increase annual sales by $418,000 and cash expenses by $337,000. The initial investment will require $390,000 in fixed assets that will be depreciated using the straight-line method to a zero book value over the six-year life of the project. Ignore bonus depreciation. The company has a marginal tax rate of 31 percent. What is the annual value of the depreciation tax shield?

		$27,300
		$13,160
		$20,150
		$13,650
		$163,800