Arnie's service station has to follow specific regulations on the disposal of used tires and motor oil. Which government agency
1 answer:
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Answer:
The current value of a perpetuity is based more on the discounted value of its nearer (in time) cash flows and less by the discounted value of its more distant (in the future) cash flows.
Explanation:
The perpetuities can becalculate as follow
C/rate = Perpetuities
the reasoning behind this formula:
If we calculate limit whe ntime is infite,
because at more time 1 + r gets closer and closer to 0
we get on the dividend
1 - 0
So we have C x 1/i = C/i
Next part would be why the first cash flow is more relevant than the subsequent cash flow:
Here if time increases, then the divisor get closer to ∞ so we have
P ( a constant) /∞ = 0
So the first cashflow is more relevant than the more distant cash flow
Answer:
Following are the solution to this question:
Explanation:
In point a:
Its purchase of assets by a subsidiary to keep does not affect the accumulated depreciation accounts of the balance sheet as we will do the requisite removal of intracompany transactions, while consolidating the two, accumulated deflation will be raised by $135,000
Asset costs = 400,000
10 Days of Existence
Yearly
In four years (2005 to 2008) - $160,000 would've been a value regarding.
The accumulated loss was reduced by $160,000 when this was sold.
In the year 2009, are paid for the depletion of Mortar.
The depletion surplus is to become removed
.
Tax due should be removed from 160,000 fewer excess depreciation, i.e. 135,000 when consolidating.
In point b:
Planet depreciation = 33,000/5.5/2 (Earth expense /2) = 3000 Planet depreciation.
Sky would've had bee = 36 000/8/2 = 2,250 Half a year of deterioration
The crediting of depletion costs for consolidating entries eliminates the additional depreciation of $750 (3,000-2,250).