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Calculate the value of the depreciation tax shield

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Reference no: EM132877424

Problem 1: Thompson Trucking has "Depreciation Expense" of $39,000 on its owned gravel trucks during the most recent fiscal year. The firm's effective tax rate was 27%. Calculate the value of the "depreciation tax shield" that this $39,000 "Depreciation Expense" deduction provides for Thompson Trucking.

Reference no: EM132877424

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