XYZ corporation can purchase a widget machine that has an initial cost of 60,000$. After being used
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Question:
XYZ corporation can purchase a widget machine that has an initial cost of 60,000$. After being used for 6 years, the machine would be sold for 17,000$. The machine is in 20% CCA class. If the corporate tax rate is 25% and the appropriate cost of capital for the machine is 11%, what is the present value of the CCA tax shields associated with this machine?
5326
6658
6935
7252
7732
Related Book For
Intermediate Financial Management
ISBN: 978-1285850030
12th edition
Authors: Eugene F. Brigham, Phillip R. Daves
Posted Date: