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umka2103 [35]
4 years ago
11

Pedro's child attends a school operated by the church the family attends. Pedro made a donation of $1,000 to the church in lieu

of the normal registration fee of $200. In addition, Pedro paid the regular tuition of $6,000 to the school. Based on this information, what is Pedro's charitable contribution?a. $0
b. $800
c. $1,000
d. $6,800
e. $7,000
Business
1 answer:
schepotkina [342]4 years ago
4 0

Answer:

$800

Explanation:

Pedro's tuition costs of $6,000 is a personal expense and does not qualify as a charitable contribution.

Pedro's donation to the church of $1,000 is charity, but he has to deduct the registration fee of $200 from it. Thus, his total charitable contribution is $1,000 - $200 = $800

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The Swimmers Co.'s Boat's value in use (net present value) is Eur 321,221.

Data and Calculations:

Pre-tax discount rate = 5% p.a., excluding inflation

Inflation rate = 2% p.a.

Inflated discount rate = 7% (5% + 2%)

Salvage value = Eur 20,000

<u>Projected cash inflows:</u>

Year           Cash Inflows    Discount Factor     Discounted Cash flows

20X4         Eur 72,000              0.935                     $67,320

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20X7        Eur 59,000               0.763                      45,017

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20X9       Eur 45,000               0.623                      28,035

20X10     Eur 38,000               0.582                        22,116

20X10     Eur 20,000              0.582                         11,640

Total discounted cash flows                         Eur 321,221

Thus, the Swimmers Co. will calculate the boat's value in use as Eur 321,221, taking into account all the discounted cash inflows.

Learn more: brainly.com/question/17185385

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