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Aliun [14]
2 years ago
11

Palmer Corp. is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an ann

ual increase in net income after tax of $100,000. The equipment will have an initial cost of $400,000 and have a 7-year life. If the salvage value of the equipment is estimated to be $75,000, what is the accounting rate of return?
Business
1 answer:
Bas_tet [7]2 years ago
7 0

Answer:

25%

Explanation:

Accounting rate of return =( Net income from investment ÷ Cost of investment ) × 100

Net income from investment = $100,000

Cost of investment = $400,000

Required rate of return = ($100,000 / $400,000 ) × 100

= 0.25 × 100

= 25%

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Wanting to finalize a sale before year-end, on December 29, WR Outfitters sold to Bob a warehouse and the land for $215,000. The
Rudiy27

Answer:

a. $135,845.77

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Explanation:

The computation of the basis is shown below:

a. For Land

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3 years ago
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It should be noted that the caah flow statement would start the accrual basis of the net income under an indirect method of the cash flow and then, all the non-cash items would either be added or subtracted in order for the reconciliation of account.

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Justine has just started a company that makes notebooks and other stationery items out of recycled materials. She has decided to
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Answer:

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Companies monitor sustainability performance for several purposes, including organizational learning, improved decision-making,
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Among the factors or reasons listed above, companies also monitor performance for sake of Accountability.

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See the link below for more about Accountability:

brainly.com/question/980342

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