Answer:
Simple payback is 4 years
Total discounted Payback is more than the 5 years which is the payback cutoff period.
Explanation:
Payback period is the time period in which the project recovers the initial cost incurred. Lower the payback period the more beneficial will be the project.
Simple payback = $100,000 / $25,000 = 4 years
Discounted Payback
Discounted payback is calculated by using the present value of future cash flows.
Total discounted cash flows = 22935.78 + 21042.0 + 19304.59 + 17710.63 + 16248.28 = 97,241.28
As sum of all cash flows are less than the initial investment so, total discounted Payback is more than the 5 years which is the payback cutoff period.
Answer:
The answer is: Stone can report $8,750 as deferred income tax liability
Explanation:
Deferred income tax liability: income tax owed by a business that is put off into future years because a difference exists between GAAP accounting (in this case book depreciation) and income tax accounting.
The deferred tax liability is based on the difference on depreciation. Since 20x9 is Stone Co.'s first year of operations, the depreciation difference in this year must equal the net future depreciation difference.
To calculate the deferred tax liability balance we take the difference in depreciation and multiply it by the future tax rate: $25,000 x 35% = $8,750.
Based on the information provided, you should record two (2) dependents in Step 3 of the W-4 form.
<h3>What is a W-4 form?</h3>
A W-4 form simply refers to an internal revenue service (IRS) tax form which is used in the United States of America, so as to indicate the correct federal income tax that should be withheld from an employee's paycheck.
In Step 3 of the W-4 form, an employee is expected to indicate whether or not he or she has dependents. Thus, an employee would write (record) the number of dependents he or she has in Step 3 of the W-4 form.
In this scenario, we can logically conclude that you should record two (2) dependents in Step 3 of the W-4 form because you've two (2) children, aged 2 and 4.
Read more on W-4 form here: brainly.com/question/15507745
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Answer:
Based on selecting a sample of 300 computers The probability questions are follows
1. . What is the probability that no computer needs service within the warranty period?
2 . What is the probability that more than half of the computers that are sampled will need warranty period?
3. What is the expected number of computers fail before the warranty period?
Answer:
a. Increase in inventory - <u>an operating activity subtraction from net income</u>
This is an operating activity as it has to do with the day to day business of the company and its operations. It is a subtraction from Net income because an increase in inventory means that more cash was spent to buy the inventory.
b. Issuance of common stock - <u>a financing activity</u>
Financing activities are those that have to do with raising capital for the business so when stock is issued and Equity is raised, it is a financing activity.
c. Decrease in accrued liabilities - <u>an operating activity subtraction from net income</u>
Liabilities are also in relation to the firm's operations so they are operating activities. This will be a subtraction from Net income because cash was used to pay off liabilities which is what reduced them.
d. Net income - <u>operating activity addition to net income</u>
Net income is derived from the operations of the business so is an Operating activity. It will increase net income evidently.
e. Decrease in prepaid expense - <u>operating activity addition to net income</u>
Prepaid expense is in relation to expenses which is an operating activity. It will be an addition to net income because as an asset, it reducing means that cash was not paid to acquire it.
