Question: ABC is considering adding a new product line that is expected to increase annual sales by 5418,000 and cash expanses by 5237,000. The initial investment

ABC is considering adding a new product line that is expected to increase annual sales by 5418,000 and cash expanses by 5237,000. The initial investment will require 5420,000 in fixed assets that will be depreciated using the straight-line to a zero salvage value over the four-year life of the project. The company has a marginal tax rate of 30 percent. What is the value of the depreciation tax shiold in year

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