Answer:
Depreciation expense Office equipment = 1,200.00
Depreciation expense Computer equipment = 5,000.00
Explanation:
The difference between accumulated depreciation represents the depreciation charge that was made during the first quarter of the 2018 accounting year.
Then depreciation charges for the first quarter are calculated as follows:
Depreciation expense Office equipment = 800 – 400 = 400
Depreciation expense Computer equipment = 2,500 – 1,250 = 1,250
Since there are 4 quarters in an accounting year, the depreciation charge in 2018 is calculated as follows:
Depreciation expense Office equipment = 400 * 4 = 1,200
Depreciation expense Computer equipment = 1,250 * 4 = 5,000
Answer:
$3,515
Explanation:
The computation of the catering supplies is shown below:
= Catering supplies per month + per job cost × expected number of jobs + per meal cost × expected number of meals
= $350 + $89 × 21 jobs + $9 × 144 meals
= $350 + $1,869 + $1,296
= $3,515
Since the question is asking for planning budget so we considered the expected units in terms of jobs and meals
Answer:
C) 0.0 percent
Explanation:
The net return on any investment is what we receive from the investment in addition to the purchase price paid.
In the given instance the investor pays $22.50 per share as an investment cost, to acquire such shares. Number of shares purchased = 500
Now at the end of the period the shares are sold for $21 each
Also the dividend per share received is $1.50
Thus, total return = $21 + $1.50 = $22.50 per share.
This is exact same as that of the investment price.
Thus net return = Total benefits - Cost = $22.50 - $22.50 = $0
Since net return is $0 the value of return in percentage shall also be $0.
Answer:
Tax shield on depreciation = 600
Explanation:
given data
new piece of equipment = $11,000
salvage value = $1,000
marginal tax rate = 30%
average tax rate = 20%
time period = 5 year
to find out
net effect of annual depreciation on the free cash flow
solution
we know here cost of asset and Salvage value so we get depreciation cost
depreciation cost is = 11000 - 1000 = 10000
and
annual depreciation = 2000
so that Tax shield on depreciation will be
Tax shield on depreciation = 2000 × 30%
Tax shield on depreciation = 600
Because today's business are wholly dependent on technology for their survival.
This is especially in production, customer service, and marketing.
