Question: Question 3 2.5 points Save Answer Alberta Hideaways is considering a new project whose data are shown below. The equipment has a 5-year life. This

Question 3 2.5 points Save Answer Alberta Hideaways is considering a

Question 3 2.5 points Save Answer Alberta Hideaways is considering a new project whose data are shown below. The equipment has a 5-year life. This equipment falls into a class with a CCA rate of 25% and would have zero salvage value. Other data is as follows. What is the present value of CCA tax shield? WACC 12.0% Equipment cost $90,000 Sales revenues each year $60,000 Cash operating costs each year $25,000 Tax rate 40.0% $23,021 $24,324 $23,402 $25,800

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