Question: Your firm needs a computerized machine tool lathe which costs $43,000 and requires $%11.300 in maintenance for each year of its 3 year life. After

 Your firm needs a computerized machine tool lathe which costs $43,000

Your firm needs a computerized machine tool lathe which costs $43,000 and requires $%11.300 in maintenance for each year of its 3 year life. After three years, this machine will be replaced. The machine falls into the MACRS 3 year class life category Assume a tax rate of 34 percent and a discount rate of 13 percent Calculate the depreciation tax shield for this project in year 3. (Round your answer to 2 decimal places.) Depreciation tax s 3.921.34

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