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The Sisyphean Company Is Considering a New Project That Will

Question 76

Multiple Choice

The Sisyphean Company is considering a new project that will have an annual depreciation expense of $2.5 million. If Sisyphean's marginal corporate tax rate is 30%, what is the value of the depreciation tax shield on the company's new project?


A) $1,750,000
B) $1,500,000
C) $1,000,000
D) $750,000

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