Question: what is the present value at a 10% discount rate of the depreciation tax shield for a firm in the 30% tax bracket that purchases

what is the present value at a 10% discount rate of the depreciation tax shield for a firm in the 30% tax bracket that purchases a $100,000 asset depreciated straight line over a 5 year life to a zero salvage value? compute the depreciation tax shield per year and discount this annuity to today.

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