XYZ Manufacturing is considering the purchase of a new punch press. This press will cost $63,112. This asset will be depreciated using an MACRS (GDS) recovery period of seven years. The book value (BV) at the end of the second year?
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Q: An equipment costing P250, 000 has an estimated life of 15 years with a book value of P30, 000 at…
A: Cost of equipment = 250,000 Life = 25 years Salvage Value = 30,000
Q: An equipment costing P250,000 has an estimated life of 15 years with a book value of P30,000 at the…
A: Straight line depreciation expense Straight line depreciation expense = (Cost of the Equipment -…
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A: The simplest method for estimating depreciation over time is straight-line depreciation. This…
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Q: Annual depreciation charge using the straight-line method (b) Depreciation charge during the fifth…
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A: *SOLUTION :-
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A: Depreciation under straight line method = (Cost - Salvage) /Life = (190000 - 40000) / 5 = 30000 Here…
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A: Ans in step 2
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A:
Q: ABC Corporation makes it a policy that for any new equipment purchased, the annual depreciation cost…
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Q: Goodson Healthcare purchased a new sonogram imaging unit for $300,000 and a truck body and chassis…
A: * SOLUTION :- (3)
Q: Declining Balance Method, determine the yearly depreciation charge for the first and second years
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A: Depreciation is used to show the fall in the value of assets over time.
Q: Your company is contemplating the purchase of a large stamping machine. The machine will cost…
A: Given in the question is First cost with transportation and installation cost = $195,000…
Q: Goodson Healthcare purchased a new sonogram imaging unit for $300,000 and a truck body and chassis…
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A: * SOLUTION :- From the given information the calculation is given below as ,
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- 2) Your company purchases a new CNC machine for $100,000 today (beginning Year 0). In 8 years it will have a salvage value of $29,000, and it produces 8,000 parts per year. The machine will require O & M costs of $41,000 every year. If i = 12% annual rate compounded annually, what is the total cost per part?You are interested in purchasing a bond from Swiss international. The bond had a 20 year maturity when it was issued, which was 3 years ago. Its face value was $1,000. The bond pays quarter interest at an 0.12 coupon rate. The bond currently trades at a price of $700, what is the YTMBawal Gumamit ng Excel( Don't use Excel) A small company purchased now for 1.15M will lose 75,000 each year for the first 4 years. An additional P400,000 invested in the company during the 4th year will result in a profit of 27,500 from the 5th year through the 15th year. At the end of 15 years, the company can be sold for 1.65M.a. Determine the IRR.b. Calculate FW if MARR is 12%/year.c. Calculate ERR ϵ = 12% per year.
- A small business earns a baseline profit of $500 a year for 5 years. In addition, its profits increase by $500 each year after Year 1. In Years 4 and 5 the business has some unplanned gains and losses. After the cash flow schedule shown below and at the end of Year 5, the future value of the small business is $2200. Determine the unknown Year 4 cash flow, "CF4", if i = 10%. Year Cash Flow 0 0 1 $500 2 $1000 3 $1500 4 "CF4" 5 -$7500 Group of answer choices $5,291 $7110 $6700 $3196 $5822Sandra has just signed a 7-year lease for her new business. The full annual lease amount is due at the beginning of every year and such cash flows have been agreed to be 17030 dollars now and the subsequent payments to increase by 4% per year until maturity. Given that the prevailing average market interest rate is 8% per year compounded monthly, compute the present value of this financial asset. (note: round your answer to the nearest cent and do not include spaces, currency signs, or commas) The answer is 105913.82, I'm just not sure how to get there.An asset is purchased for P 90,000. Its estimated life is 10 years, after which is will be sold for P 1,000. Using SOYD, Find the book value during the 3rd year.
- oped Book Hint Required information Brooke is evaluating two alternatives for improving the exterior appearance of her Victorian-style house that she is remodeling inside. She plans to keep this as her home for 20 more years. The house can be completely painted at a cost of $14,000. The paint is expected to remain attractive for 5 years, at which time repainting will be necessary. Every time the building is repainted (.e., in years 5, 10, and 15), the cost will increase by 20% over the previous time. As an alternative, the exterior can be covered with a vintage-appearing vinyl-coated siding now and again 10 years from now at a cost 41% greater than the present cost of the siding. At a MARR of 10% per year, what is the maximum amount that Brooke should spend now on the siding alternative so that the two alternatives will just break even? Solve using factors. The maximum amount that Brooke should spend now on the siding alternative is $A Corporation sold an issue of 20-year bonds, having a total face value of 10,000,000 for 9,500,000. The bonds bear interest at 16%, payable semiannually. The company wishes to establish a sinking fund for retiring the bond issue and will make semiannual deposit that will earn 12%, compounded semiannually. Compute the annual cost for interest and redemption of these bondsA company is developing a new electronic product. It expects to spend $38 million on Research and Development and then another $6 million on Manufacturing Engineering. After completing all this, the company expects a cost of $15 per unit to manufacture and plans to build in a profit of $5 per unit into the price. The company needs to recover the cost of R&D plus Manufacturing Engineering over five years through sales of 4 million units over those five years. What will the company need to establish as the sales price for the unit?
- ENGINEERING ECONOMICS Bawal Gumamit ng Excel( Don't use Excel) A small company purchased now for 1.15M will lose 75,000 each year for the first 4 years. An additional P400,000 invested in the company during the 4th year will result in a profit of 27,500 from the 5th year through the 15th year. At the end of 15 years, the company can be sold for 1.65M.a. Determine the IRR.b. Calculate FW if MARR is 12%/year.c. Calculate ERR ϵ = 12% per year.RESOLVE THIS PROBLEM IN DIGITAL FORMAT (NOT HANDWRITTEN) Solve the following problem step by step, include the formulas you use and the development please Calculate the interest generated by $ 50,850 at 7.3% bimonthly, if it contracted on April 22, 2019 and expired on July 4 of the same year?Urgently need. You are considering purchasing a dump truck. The truck will cost $75,000 and have operating and maintenance costs that start at $18,000 the first year and increases by $2,000 per year. Assume that the salvage value at the end of five years is $22,000 and interest rate is 15%. What is the capital recovery cost with return at 15% over the 5 years?