The depreciation tax shield based on the EBIT, the tax rate and the depreciation is $540.
<h3>How do you find the depreciation tax shield?</h3>
This can be found as:
= Depreciation x Tax rate
Solving gives:
= 1,800 x 30%
= $540
Find out more on the depreciation tax shield at brainly.com/question/24192125.
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Answer:
I don't know this assignment but ask your teacher or get tutor.
Explanation:
Financial health of the company.
Company's brand value.
Work culture and environment.
wages and salary ofc
Answer:
Depreciation expense for the year ended December 31, 2018 equals: $1,725
Explanation:
Orangewood uses straight-line depreciation, Depreciation Expense each year is calculated by following formula:
Depreciation Expense = (Cost of asset − Residual Value)/Useful Life
In Orangewood:
Cost of ash register is $7,500. The company plans to use the cash register for 4 years and then sell it for $600, therefore, Residual Value is $600 and Useful Life is 4 years.
Depreciation Expense each year = ($7,500-$600)/4 = $1,725
The cash register was bought on January 1, 2018. Depreciation expense for the year ended December 31, 2018 equals: $1,725
