Answer:
Loss on transaction is $12,043
Explanation:
Given:
Initial cost of equipment = $472,800
Accumulated depreciation = $449,160
Salvage value = Initial cost - accumulated depreciation
= $472,800 - 449,160
= $23,640
Selling price of equipment = $11,597
Since selling price is lesser than salvage value, the company incurs loss on the sale of equipment.
Loss on sale of equipment = Salvage value - selling price
= 23,640 - 11,597
= $12,043
Answer:
B) the consumers generally pay the majority of the tax.
Explanation:
Unit Excise is an indirect tax ; whose incidence & impact lie on different people and the burden can be shifted among buyers & sellers.
The economic participant (buyers / sellers) having more inelastic market force (demand / supply) shares more burden of the tax. More burden of Indirect tax: lies on buyers if demand is more inelastic (less responsive to price) , lies on sellers if supply is more inelastic (less responsive to price).
So, if Unit Excise tax is placed on a good for which demand is very unresponsive to price change (inelastic) : Consumers (buyers) generally pay the majority of the tax.
Answer:
Instructions are below.
Explanation:
Giving the following information:
Future value= $11,000,000
Number of years= 2
To calculate the initial investment required, we need an interest rate. <u>We weren't provided with this information, however, I will provide the formula and an interest rate.</u>
i= 8% compounded annually.
To calculate the lump-sum, we need to use the following formula.
PV= FV/(1+i)^n
PV= 11,000,000/(1.08^2)
PV= $9,430,727.02
That sounds about right for accounting anyway