Answer:
A. 3.8 YEARS
B YES
C $325.91
Explanation:
Payback period is the amount of time it takes to recover the amount invested in a project from its cumulative cash flows.
payback period = amount invested / cash flows
$1,900 / $500 = 3.8 years
the project should be accepted because the payback period is less than the maximum acceptable year
Net present value is the present value of after tax cash flows from an investment less the amount invested.
NPV can be calculated using a financial calculator
cash flow in year 0 = $-1900
cash flow each year from year 1 to 5 = $500
I = 4%
NPV = $325.91
To find the NPV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Answer:
True
Explanation:
Data given in the question
Sale value of the property = $5,000,000
Cost basis of property = $2,750,000
And, the taxable income is $12,150,000
So, based on the above information, the capital gain on the property is
= (Sale value of the property - Cost basis of property) × capital gain tax rate
= ($5,000,000 - $2,750,000) × 15%
= $337,500
We assume the capital gain tax rate is 15%
Hence, the given statement is true
Answer:
The very earliest that a pregnancy can be confirmed with an ultrasound in a horse is approximately after two weeks after the breeding took place.
Explanation:
Answer:
$550,000
Explanation:
Based on the information given the OPPORTUNITY COST OF RUNNING THE HARDWARE STORE will be $550,000 ($500,000+$50,000), which include the amount of $500,000 which is the cost of renting the store as well as to the cost to buy the stock while the $50,000 is her salary as an Accountant, reason been that she would QUIT HER JOB as an accountant in order for her to run the store.
Therefore the OPPORTUNITY COST will be $550,000
