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Masja [62]
3 years ago
7

Stanton Inc. is considering the purchase of a new machine, which will reduce manufacturing costs by $5,000 annually and increase

earnings before depreciation and taxes by $6,000 annually. Stanton will use the MACRS method to depreciate the machine, and it has estimated the depreciation expense for the first year as $8,000. Which of the following is the supplemental operating cash flow for the first year if Stanton's marginal tax rate is 40 percent?a. $40,000b. $15,000c. $9,800d. $4,500e. $23,000
Business
1 answer:
Vesnalui [34]3 years ago
7 0

Answer:

80000.3000196

Explanation:

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_____ (rapid execution, response, and delivery of results) often separates the winners from the losers.
Marianna [84]

Answer:

The correct answer is letter "D": Speed.

Explanation:

The speed at which companies perform their activities is vital and can take a big role in determining the profits or losses of the business. Firms must be one step ahead in their production process to make sure deadlines are met and to predict failures to solve the issues immediately minimizing the output damages.

3 0
3 years ago
Read 2 more answers
Green Corporation reported pretax book income of $1,000,000. During the current year, the net reserve for warranties increased b
Dmitry_Shevchenko [17]

Answer:

Green's cash tax rate is 19.425%

Explanation:

The cash tax rate is the taxes payable divided by pretax book income. Green's taxable income is $925,000 ($1,000,000 + $50,000- $100,000 - $25,000). Taxes payable on taxable income is $194,250. The cash tax rate is 19.425% {$194,250/$1,000,000}.    

6 0
3 years ago
Antonia runs her own business as a cabinetmaker. What benefit and what drawback does her sole proprietorship entail?. . Control
alina1380 [7]
The answer to the question is the third option, "Total control, but total liability". The decisions made regarding the business in sole proprietorship is mainly based on the thinking of one owner, in this case Antonia. In similar manner, all the liabilities are also hers. 
6 0
3 years ago
A new car sells for $25,000. The value of the car decreases by 15% each year. What is the approximate value of the car 5 years a
Rama09 [41]

Depreciation is an accounting method for allocating the cost of a tangible or physical asset over its <u>usable life</u>. Depreciation is a term used to describe<u> how much</u> of an asset's worth has been used.


<h2>Given:</h2>


Initial value of the Car = 25,000

Depreciation of the Car= 15% per annum based on net book value

<h3>The computation:
</h3>

Note: t = Number of years

\text{Net book value} = 25,000 (1 - 0.15)^t

NBV = 25,000 (0.85)^5\\\&#10;&#10;NBV = 25,000 (0.4437)\\\&#10;&#10;NBV = 11,092.50&#10;&#10;&#10;

As a result, the car's approximate value 5 years after purchase is 11,092.50.


For more information about computing sum, refer below:

brainly.com/question/1373966

7 0
3 years ago
Suppose a State of Nevada bond will pay $1,000 eight years from now. If the going interest rate on these 8-year bonds is 5.5%, h
spayn [35]

Answer:

$651.60

Explanation:

the worth of the bond today can be determined by calculating the present value of the bond's cash flow

Present value is the sum of discounted cash flows

Present value = cash flow / (1 + r)^n

r = interest rate

n = years

1000 / ( 1.055)^8 = $651.60

8 0
3 years ago
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