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zloy xaker [14]
3 years ago
14

Topsider Inc. is evaluating whether to replace an existing leather-cutting machine with a new machine that has a five-year life.

The old machine has current salvage value equal to $3,000; its salvage value in five years is expected to be zero. The net (after-tax) salvage value of the new machine in five years is expected to be $6,000. If the new machine is purchased, Topsider will have to invest $3,520 in its net working capital. Based on this information, what is the new machine's terminal cash
Business
1 answer:
pogonyaev3 years ago
5 0

Answer:

$9,520

Explanation:

Terminal cash flow = After tax salvage value of new machine + Recovery of net working capital

Terminal cash flow = $6,000 + $3,520

Terminal cash flow = $9,520

So, the new machine's terminal cash is $9,520.

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Answer:  The following statements is correct: <em><u>Bond covenants are designed to protect bondholders and to reduce potential conflicts between stockholders and bondholders.</u></em>

Bond covenants are considered to be part of the judicial bindings that forms up a bond, irrespective of the fact whether it is issued by a institution or the authorities. They are normally  supposed to defend capitalist by rendering some certainty on the bond.

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3 years ago
Asset deflation: Multiple select question. reflects a decline in the productive capacity of assets and therefore reduces potenti
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Generally, a firm's asset deflation mostly reflects a decline in the productive capacity of assets and therefore reduces potential output.

<h3>What is an asset deflation?</h3>

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7 0
2 years ago
An important first step in adapting a product to a foreign market is to determine the Group of answer choices personal ethics of
KengaRu [80]

Answer:

degree of newness of the product as perceived by the intended market.

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As the new product is in the market so the willing of the consumers are to evaluate the production that depends upon the product newness in the market

The other options are incorrect as if the evaluation of the consumers depend upon the irrational beliefs so it would not be intended to purchased

Therefore the last option is correct

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3 0
3 years ago
Anson Jackson Court Company (AJC) The Anson Jackson Court Company (AJC) currently has $200,000 market value (and book value) of
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Answer:

7.38%

Explanation:

Calculation to determine what would be AJC's new WACC and total value

Using this formula

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2 years ago
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c pay the miminum balance each month

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3 years ago
Read 2 more answers
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