What would the present value of this assets tax shelter be


If a leased asset were scrapped from a continuing CCA pool after four years, and its UCC were $10,000 and its salvage is zero, what would the present value of this asset's tax shelter be if the appropriate after-tax borrowing rate is 9 percent, the CCA rate is 20 percent, and the tax rate is 40 percent?

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Finance Basics: What would the present value of this assets tax shelter be
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