Question: Some R&D equipment costs $ 2 5 0 , 0 0 0 . The interest rate is 1 0 % , and the salvage value

Some R&D equipment costs $250,000. The interest rate is 10%, and the salvage value is $25,000. The expected life is 10 years (with periodic upgrades). Compute the PW of the depreciation deductions. Assume: MACRS.

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