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Cantankerous and very stubborn

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Your superior is a cantankerous and very stubborn man who believes that the simplest approaches are the best. Your firm has just bought a van, with a five-year lifetime, for $10000. You superior wants you to use straight line depreciation. You claim that using double declining balance depreciation will save you money. If your discount rate is 10% and your tax rate is 40%, show him how much you will save in present value dollars.

Reference no: EM131209248

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