Question: Your Company is considering a new project that will require $100,000 of new equipment at the start of the project. The equipment will have a

Your Company is considering a new project that will require $100,000 of new equipment at the start of the project. The equipment will have a depreciable life of 10 years and will be depreciated to a book value of $25,000 using straight-line depreciation. The cost of capital is 11%, and the firm's tax rate is 34%. Estimate the present value of the tax benefits from depreciation. $13, 607, 52 $14, 841, 29 $15, 017, 54 $16, 997, 13

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