1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
djyliett [7]
2 years ago
7

A $63,000 machine with a 7-year class life was purchased 2 years ago. The machine will now be sold for $50,000 and replaced with

a new machine costing $75,000, with a 5-year class life. The new machine will not increase sales, but will decrease operating costs by $16,000 per year. Simplified straight line depreciation is employed for both machines, and the marginal corporate tax rate is 34 percent. What is the initial outlay for the project?.
Business
1 answer:
Free_Kalibri [48]2 years ago
4 0

The incremental annual cash flow associated with the project is $12400

<h3>What is incremental annual?</h3>

Sales resulting from a higher volume of sales are known as incremental revenue. Establishing a baseline revenue level and comparing changes from that point onwards is required to calculate incremental revenue.

<h3>According to the given information :</h3>

Depreciation=[($63,000/7 years)-($75,000/5 years)

Depreciation=$9000-$15000

Depreciation=$6000

Now let calculate the Incremental annual cash flow

Incremental annual cash flow

={($16000-$6000) - [($16000-$6000)*34%]+$6000}

= {(10000)- [10000*34%]+6000}

= {(10000) - 3600+6000}

= {16000-3600}

= $12400

Incremental annual cash flow=$12400

Therefore the incremental annual cash flow associated with the project is $12400

To know more about the incremental annual visit:

brainly.com/question/22784283

#SPJ4

You might be interested in
Hadley Corporation, which has only one product, has provided the following data concerning its most recent month of operations:
Tom [10]

Answer:

$76,260

Explanation:

Calculation to determine the total period cost for the month under variable costing

Using this formula

Total Period cost = Variable selling and administrative cost + Fixed manufacturing overhead + Fixed selling and administrative cost

Let plug in the formula

Total Period cost = ($14 × 1,760) + $18,180 + $33,440

Total Period cost =$24,640+$18,180 + $33,440

Total Period cost =$76,260

Therefore the total period cost for the month under variable costing is $76,260

8 0
3 years ago
The short-run aggregate supply curve shows: a. Changes in output in an economy as the price level changes, holding all other det
Neporo4naja [7]
<h3>The short-run aggregate supply curve shows the relationship between the price level and aggregate expenditure </h3>

Explanation:

A short-run aggregate supply curve (SRAS) is a graphical model that shows the positive relationship between aggregate price level and aggregate production amount supplied in an economy. The short-run aggregate supply curve is sloping upward as the supplied quantity increases as the prices increase.

The short-run aggregate supply curve captures the relationship between the actual output and the price level. True production becomes bigger as the price level increases. As the price level decreases, actual production decreases too.

8 0
3 years ago
In Charles Dickins' Christmas Carol which grumpy character says 'Bah Humbug'?
Sergio039 [100]
  it's Ebenezer Scrooge
5 0
3 years ago
Read 2 more answers
Which of the following types of work would a company be most likely to preform through outsourcing?
Goryan [66]

Answer:

B

Explanation:

A consistent, predictable amount of work

5 0
3 years ago
Read 2 more answers
PAC money is directed primarily toward: a. liberal candidates regardless of whether they are incumbents or challengers b. congre
pogonyaev

Answer:

E) Congressional incumbents

Explanation:

PAC money is directed primarily toward congressional incumbents, and this can easily be verified on the web. For example, both Nancy Pelosi, a democrat, and Brian Fritzpatrick, a republican, are among the top incumbents by number of money received from PACs, thus, party affiliation is not as important as it is incumbent status.

This is probably because incumbents are more likely to win elections, whether in the senate, the house, or even, the presidency.

7 0
3 years ago
Other questions:
  • Pleasant Hills Properties is developing a golf course subdivision that includes 250 home lots; 100 lots are golf course lots and
    12·1 answer
  • How do Government price ceilings and price floors affect the economy? Select all that apply.
    14·1 answer
  • A person may have very strong ethics in the way he or she treats family and friends, but not understand how failure to submit ta
    14·1 answer
  • Home value inc., max cart inc., and nice necessities inc. are three consumer-product retailing companies. their products consist
    8·1 answer
  • Maddie enjoys viewing the website for her favorite clothing store because part of the space lets customers post pictures wearing
    10·1 answer
  • Ramirez Company is completing the information processing cycle at its fiscal year-end on December 31. Following are the correct
    11·1 answer
  • Steps in the Accounting Cycle Listed below, out of order, are the steps in an accounting cycle.
    7·1 answer
  • Patricia Ness is a lawyer specializing in employment law. Her clients showed her that the right-to-work laws create many problem
    6·1 answer
  • Tim is a single father with 1 child. He can work as a bagger at the local grocery store for $6 per hour up to 1,200 hours per ye
    5·1 answer
  • Suppose a country's productivity last year was 84. If this country's productivity growth rate of 5 percent is to be maintained,
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!