1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Lelechka [254]
3 years ago
7

Precision Tool requires a 12 percent rate of return and uses straight-line depreciation to a zero book value over the life of it

s equipment. A Machine it is using has an initial cost of $892,000, annual operating cash flow (OCF) of -$26,300, and a 5-year life. The machine will be replaced at the end of its useful life. What is the EAC of the machine
Business
1 answer:
7nadin3 [17]3 years ago
6 0

Answer: -$273,747.85

Explanation:

EAC of machine = Net Present Value / Present value interest factor of Annuity(PVIFA)

Net Present value = Present value of cashflow - Initial investment

= -26,300 * PVIFA, 12%, 5 years - 892,000

= -26,300 * 3.6048 - 892,000

= -$986,806.24

EAC of machine = -986,806.24/ 3.6048

= -$273,747.85

You might be interested in
On January 1, 2021, Blake Corporation issued 1,000 of its 9%, $1,000 callable bonds for $1,060,000. The bonds are dated January
Paul [167]

Answer:

$1,076,000

Explanation:

 The computation of the carrying value of the bonds is shown below:

= Face value of the bond + unamortized bond premium

= $1,060,000 + $16,000

= $1,076,000

We simply added the face value of the bond and the unamortized bond premium so that the carrying value of the bond could come

All other information which is given is not relevant. hence, ignored it

8 0
3 years ago
Before it was publicly known that IBM was going to take over Lotus Development, an IBM secretary told her husband, who told two
aalyn [17]

Answer:

Insider Trading

Explanation:

These people were insider trading because they were using non public material information to trade stocks and make profit. The information was confidential thus it was non public and the information could change the price of the stock that is why it was material and these people used this information to trade the stock thus they were all insider trading.

4 0
3 years ago
Rather than generating tax revenue as do tariffs, subsidies require tax revenue. Therefore, they are not an effective protective
KatRina [158]

Yes. Subsidies are benefits that the government can grant to institutions, households and businesses to promote economic efficiency and reduce market failures. They may be distributed through cash or by cutting tax rates. However, there is controversy about the effectiveness of using subsidies for the economy, often related to the inefficiency of promoting a free market, allocating resources that could be used for investment in productive resources and masking the results of economic efficiency. Another major concern with the use of subsidies is the formation of political alliances of those who receive them and those who provide them, creating political interests because of their use.

6 0
3 years ago
What are the types of office etiquette?
jenyasd209 [6]

Answer:

The types of office etiquette:

1) Workplace etiquette

2) Table manners and meal etiquette

3) Professionalism

4) Communication etiquette

5) Meetings etiquette

5 0
3 years ago
The Boat Company has a capital structure of 30 percent riskless debt and 70 percent equity. The assumed tax rate is 23 percent.
mash [69]

Answer: 0.68

Explanation:

Using the measures given, the equity beta can be calculated as:

Equity beta = Asset beta * (1 + (1 - Tax rate) * (Debt/Equity)

= 0.9 * ( 1 + ( 1 - 23%) * (30% / 70%)

= 1.593 * 0.3/0.7

= 0.68

7 0
3 years ago
Other questions:
  • In the treatment of U.S. exports and imports, national income accountants _____. rev: 04_09_2018 Multiple Choice subtract export
    9·1 answer
  • Help with question no.19?
    15·1 answer
  • How would the inventory cost change if labeling and packing were moved to the DC? Assuming the demands are independent of each o
    13·1 answer
  • The total amount that you owe for income tax in one year is your tax
    13·1 answer
  • lantwide rate unit cost, using direct labor hours? Relative to the plantwide rate, the cost increased for Form A and decreased f
    12·1 answer
  • The project scope statement indicates that the client is responsible for training the people who will be using the equipment and
    14·1 answer
  • Explain the downside of social media for sports and entertainment marketers
    13·1 answer
  • Jazmine loves posting on social media. She loves spreading the word about projects she's working on and helping others do the sa
    15·1 answer
  • 1. Poverty is more than an economic problem, its a source of social discontent and political________; However, economic ________
    14·1 answer
  • Which 2 statements are true regarding the multicurrency function in quickbooks online?
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!