Your Firm Needs a Machine Which Costs $90,000, and Requires

question 104

Multiple Choice

Your firm needs a machine which costs $90,000, and requires $30,000 in maintenance for each year of its five-year life. After five years, this machine will be replaced. The machine falls into the MACRS five-year class life category. Assume a tax rate of 35 percent and a discount rate of 13 percent. What is the depreciation tax shield for this project in year 5?

• A)$471.74
• B)$1,347.84
• C)$3,628.80
• D)$6,739.20

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Definitions:

Civil Citizenship

Refers to the status conferred upon individuals by a state, entitling them to rights and responsibilities within that state's legal framework.

Political Citizenship

Refers to the status and rights of individuals within a political entity, including participation in political processes and the right to vote.

Social Citizenship

The rights, duties, and entitlements associated with being a member of a society, allowing individuals access to social services, healthcare, and education, fostering a sense of belonging and participation.

Routine Collective Actions

The regular, patterned, and unexceptional activities performed by groups of individuals that reinforce social norms and cohesion.