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blsea [12.9K]
3 years ago
14

The amount of the estimated average income for a proposed investment of $60,000 in a fixed asset, giving effect to depreciation

(straight-line method), with a useful life of four years, no residual value, and an expected total income yield of $21,600, is: Group of answer choices $10,800 $21,600 $ 5,400 $30,000
Business
1 answer:
katrin2010 [14]3 years ago
3 0

Answer:

$5,400

Explanation:

Calculation to determine the estimated average income

Using this formula

Estimated average income=Expected total income yield/Useful life

Let plug in the formula

Estimated average income= $21,600 ÷ 4

Estimated average income= $5,400

Therefore the estimated average income is $5,400

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4 0
1 year ago
XYZ Corp owns a 3-year $10 million par floating rate bond. The coupons on the bond are 12-month LIBOR. XYZ would like to hedge a
malfutka [58]

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 2.45%

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3 years ago
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8 0
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