Brown Company is considering the purchase of the following computer equipment, which is considered 5-year property for tax purposes:
Brown Company plans to use MACRS and keep the production equipment for seven years.(Round amounts to dollars.)
Tax savings from depreciation in Year 3 would be
A) $54,400.
B) $35,360.
C) $22,856.
D) $30,720.
Correct Answer:
Verified
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