Question: Example: CCA Tax Shield You purchase equipment for $ 1 0 0 , 0 0 0 and it costs $ 1 0 , 0 0

Example: CCA Tax Shield
You purchase equipment for $100,000 and it costs $10,000 to have it delivered and installed. Based on past information, you believe that you can sell the equipment for $17,000 when you are done with it in 6 years. The company's marginal tax rate is 40% If the applicable CCA rate is 20% and the required return on this project is 10%, what is the present value of the CCA tax shield? Show me how to calcualte it in excel formula. Thank you
Example: CCA Tax Shield You purchase equipment for $100,000 and it

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