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
tiny-mole [99]
3 years ago
14

Corba Company is evaluating whether to replace an old machine with a new, more efficient machine. Corba purchased the old machin

e for $600,000, and there is $180,000 of accumulated depreciation recorded for the machine. It has a 10-year remaining useful life and a $0 salvage value. It costs $480,000 per year to operate. The new machine would have a 10-year useful life and a $0 salvage value. It would cost $1,200,000, and its annual operating costs would be $361,200. If the old machine is replaced, it can be sold for $48,000 today. What is the net advantage (disadvantage) of replacing the old machine?
Business
1 answer:
LiRa [457]3 years ago
6 0

Answer:

It is more convenient the new machine.

Explanation:

Giving the following information:

Corba purchased the old machine for $600,000, and there is $180,000 of accumulated depreciation recorded for the machine. It has a 10-year remaining useful life and a $0 salvage value. It costs $480,000 per year to operate. The new machine would have a 10-year useful life and a $0 salvage value. It would cost $1,200,000, and its annual operating costs would be $361,200. If the old machine is replaced, it can be sold for $48,000 today.

We will make an incremental analysis.

Year 0= 48,000 - 1,200,000= -1,152,000

Year 1 to 10:

Cost save= 480,000 - 361,200= 118,800*10= 1,188,000

Effect on income= 1,188,000 - 1,152,000= 36,000

It is more convenient the new machine.

You might be interested in
What to do with office space to make money? How would you arrange them?
hoa [83]

Answer:

a bigger space

Explanation:

a bigger space because u have a alot to do. you can have more people working. or if it private then a room for secretary and your office in the business

7 0
3 years ago
You must pick one of two​ wagers, for an outcome based on flipping a fair coin. 1. You win ​$440 if it comes up heads and lose ​
UkoKoshka [18]

Answer:

See Below

Explanation:

Expected value is the sum of the products of the probability and payoff of each.

<u>Wager 1:</u>

probability of heads and tails, both is 0.5

Win = 440

Loose = 110

So,

Expected Value = 440(0.5) + (-110)(0.5) = 220 - 55 = $165

<u>Wager 2:</u>

Similar to wager 1

Win = 770

Loose = 220

So,

Expected value = 770(0.5) + (-220)(0.5) = 385 - 110 = $275

2nd wager is better, in this sense.

4 0
3 years ago
A researcher examining the effects of an experimental surgery on epilepsy randomly assigns epileptic patients to three different
sergey [27]
The answer to this question is the "WAIT-LIST CONTROL". When a  researcher is examining the effects of an experimental surgery on epilepsy randomly assigns epileptic patients to three different conditions. The first condition is that the participants receive the surgery. The second condition is that the patients receive the medication while third condition, the patients receive the surgery one month after the other group of patients. The third group of patients who need to wait for another one month is in the WAIT-LIST CONTROL and can only be accommodated after the other group is done.
6 0
3 years ago
Miracle Clean's variable costs are $3.00 per bottle and Fixed Expenses are $350,000 per year. The company currently sells 150,00
DerKrebs [107]

Answer:

131,250= number of units

Explanation:

Giving the following information:

<u>We need to calculate the number of units to be sold to maintain a profit of $175,000.</u>

Unitary variable cost= $3

Fixed expenses= $350,000

Selling price= $7

Net income= total contribution margin - fixed cost

175,000= number of units*(7 - 3) - 350,000

525,000 = number of units*4

525,000 / 4= number of units

131,250= number of units

7 0
3 years ago
On December 31 of the current year, the unadjusted trial balance of a company using the percent of receivables method to estimat
devlian [24]

The amount that should be debited to Bad Debts Expense, assuming 3% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible is $1,913

<h3>What is bad debts expenses?</h3>

Bad debt are debts owned to a business which cannot be recovered. Here, the customer has chosen not to pay this amount.

Computation of amount to be debited to Bad Debts Expense:

=  Accounts Receivable, debit balance of $97,800 *  3% of outstanding accounts receivable at the end of the current year

= $97,800 *  3%

= $2,934

Then,

= $2,934 - $1,021

= $1,913

Hence, the amount that should be debited to Bad Debts Expense, assuming 3% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible is $1,913

Learn more about bad debts expenses here : brainly.com/question/18568784

4 0
2 years ago
Other questions:
  • which of the following is most likely to cause a decrease in equilibrium price and an increase in equilibrium quantity in the ma
    7·1 answer
  • Many organizations are adapting to the environment by developing more of a(n) _____ relationship rather than a(n) _____ relation
    8·1 answer
  • The government uses indexing to revise tax brackets so that workers do not pay higher taxes just because
    8·1 answer
  • Price of oil in international markets has dropped stunningly 60% in the past twelve months. Among the factors mentioned behind t
    12·1 answer
  • Your car still has a marginal cost of $20,000. But, the market price has now increased to $25,000. Your incentive to supply cars
    11·2 answers
  • Norwall Company’s budgeted variable manufacturing overhead cost is $3.00 per machine-hour and its budgeted fixed manufacturing o
    7·1 answer
  • Tungsten, Inc. manufactures both normal and premium tube lights. The company allocates manufacturing overhead using a single pla
    9·1 answer
  • Define the word buffer in entrepreneurship ( business ) form .
    10·1 answer
  • The cash account for American Medical Co. at April 30 indicated a balance of $89,775. The bank statement indicated a balance of
    6·1 answer
  • What is the difference between following the law and acting ethically?
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!