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Morgarella [4.7K]
3 years ago
7

DON Corp. is contemplating the purchase of a machine that will produce net after-tax cash savings of $20,000 per year for five y

ears. At the end of five years, the machine can be sold to realize after-tax cash flows of $5,000. Interest is 12%. Assume the cash flows occur at the end of each year.
Required:
Calculate the total present value of the cash savings.
Business
1 answer:
Allushta [10]3 years ago
3 0

Answer:

$74,932.66

Explanation:

Present value is the sum of discounted cash flows.

Present value can be calculated using a financial calculator

Cash flow from year 1 to 4 = $20,000

Cash flow in year 5 = $25,000

I = 12%

Present value = $74,932.66

To find the PV using a financial calacutor:

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

I hope my answer helps you

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On May 16, Thorne Co. declares a $0.40 dividend to be paid on April 5. Thorne has 2,060,000 shares of common stock issued and ou
Ksju [112]

Answer:

b. Dividends and a credit to Dividends Payable for $824,000

Explanation:

Dividends payable = 2,060,000 shares * $0.40 per share = $824,000

Journal entry on February 16

Dividends                 $824,000

Dividends payable                     $824,000

4 0
2 years ago
Using the Online Self Study Certifications table, answer the following question: At what individual price would revenue be maxim
Leona [35]

The individual price where the revenue would be maximized for the Certification in Online Counseling is <u>$190</u> with total revenue of $190,000.

<h3>What is total revenue?</h3>

The total revenue is a function of the units sold and the unit price.

To calculate the total revenue for each segment, the sales units per segment are multiplied by the segment's price.

TR = P * Q or Total Revenue = Price * Quantity.

<h3>Data and Calculations:</h3>

Online Self Study Certifications for Social Work License

                                  Certification           Certification                Bundle

Customers                     in Online      Counseling as a Group

                                                              Home Counselor

                               TR Counseling      TR Group Home         TR Bundle Segment 1  1000  $190  $190,000      $70       $70,000    $260 $260,000

Segment 2 1000  $150    150,000      $90        90,000     $240   240,000

Segment 3 1000   $95     95,000     $160       160,000     $255   255,000

Segment 4 1000  $35      35,000     $195       195,000     $230   230,000

Learn more about calculating total revenue at brainly.com/question/25623677

#SPJ1

<h3>Question Completion: </h3>

Online Self Study Certifications for Social Work License

                                  Certification           Certification                Bundle

Customers                     in Online      Counseling as a Group

                                                               Home Counselor

                               TR Counseling        TR Group Home       TR Bundle Segment 1  1000  $190                       $70                          $260

Segment 2 1000  $150                       $90                          $240

Segment 3 1000   $95                      $160                          $255

Segment 4 1000   $35                      $195                          $230

Required:

At what individual price would the revenue be maximized for the Certification in Online Counseling?

5 0
2 years ago
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Svet_ta [14]

Answer:

$360

Explanation:

We can compute net income to be

The ending balance of retained earnings = Beginning balance of retained earnings + net income - dividend paid.

Where,

Dividend = $482

Change in retained earnings = $122

Hence,

Net income = Dividend - Change in retained earnings

= $482 - $122

Net income = $360

6 0
3 years ago
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Answer:A - His prefrontal cortex is underdeveloped.

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Prefrontal cortex is the frontal part of the frontal lobe in the brain. This part of the brain is responsible for some of our behaviours like decision making, social behaviour moderator and personality expressions.

This is to say that Xavier's behaviour was controlled by his prefrontal cortex that is still developing.

8 0
3 years ago
Why do basketball players switch teams?<br> Why do they have to sign a paper when they do that?
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It varies from player to player, some do it for better pay and some do it because they don't like the team their with. They have to sign papers because there transferring their services to another franchise, and are agreeing to new terms of contracts. Things that are disclosed in the contracts are things such as payment and how many years they will be bonded by the contract.

6 0
3 years ago
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