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Aneli [31]
3 years ago
10

A company is evaluating a new 4-year project. The equipment necessary for the project will cost $3,250,000 and can be sold for $

645,000 at the end of the project. The asset is in the 5-year MACRS class. The depreciation percentage each year is 20.00 percent, 32.00 percent, 19.20 percent, 11.52 percent, and 11.52 percent, respectively. The company's tax rate is 35 percent. What is the aftertax salvage value of the equipment
Business
1 answer:
MissTica3 years ago
5 0

Answer: $615,810‬

Explanation:

The Book Value of the Asset at the end of 4 years will be;

= Cost of equipment - Accumulated Depreciation

= 3,250,000 - ( 3,250,000 * ( 20% + 32% + 19.20% + 11.52%))

= 3,250,000 - 2,688,400

= $561,600

The Equipment will be sold at $645,000 meaning a gain is made

= 645,000 - 561,600

= $83,400

Tax to be paid is;

= 83,400 * 0.35

= $29,190

After-tax salvage value of the equipment = Sales Price - Tax

= 645,000 - 29,190

= $615,810‬

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See below

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XYZ Corp issued $600,000 of 9% , 10-year bonds on June 30,2020, for $562,500. This price provided a yield of 10% on the bonds. I
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3 years ago
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Answer:

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Abstract and opinion can also be call Abstract of title:

this is the records or evidence of the full history of the property from the conveyance,wills, legal backing, and the list of those people that as assume ownership of the property for a particular period of time.

A full summary of all consecutive grants, conveyances, wills, records, and judicial proceedings affecting title to a specific parcel of real estate, together with a statement of all recorded liens and encumbrances affecting the property and their present status, but not including encroachments and forgeries, is known as a Abstract of Title or Abstract and opinion.

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Adding an additional salesperson or departmental expert to a call to address a client's specific needs is a straightforward example of team selling (e.g., manufacturing, customer service, or technical questions).

learn more about Team selling here <u>brainly.com/question/25586322</u>

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3 0
2 years ago
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Form of investment shares. Knead. Mutual funds and ETFs. bank product. option. Savings for pension, retirement, and education. Your investment allows you to be independent and not depend on other people's money when you need it financially. You can pay enough for your needs and desires in life.

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