What is the present value of the tax savings

Reference no: EM13298161

S&S Corporation is making $65,000 investment in equipment with a 5-year life. The company uses the straight-line method of depreciation and has a tax rate of 40%. The company's required rate of return is 12 percent.

What is the present value of the tax savings related to depreciation of equipment?

Reference no: EM13298161

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