Cost of equipment: Rs.25,000; Useful life of equipment: 5 years; Tax rate: 30%. If equipment is depreciated using straight line method, what is the depreciation tax shield associated with the new equipment?
- Rs.5,000
- 2,000
- Rs.1,500
- Rs.7,500
Cost of equipment: Rs.25,000; Useful life of equipment: 5 years; Tax rate: 30%. If equipment is depreciated using straight line method, what is the depreciation tax shield associated with the new equipment?
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