A company receives $290, of which $15 is for sales tax. The journal entry to record the sale would include a

Johnson Enterprises uses a computer to handle its sales invoices. Lately, business has been so good that it takes an extra 3 hou

azamat

Answer:

The old computer should be replaced since the differential amount of the replacing it with a new computer is $10,000

Explanation:

Old machine New machine Differential

amount

purchase cost $0 ($15,000) ($15,000)

operating costs year 1 ($24,600) ($19,600) $5,000

operating costs year 2 ($24,600) ($19,600) $5,000

operating costs year 3 ($24,600) ($19,600) $5,000

operating costs year 4 ($24,600) ($19,600) $5,000

<u>operating costs year 5 ($24,600) ($19,600) $5,000 </u>

TOTAL ($123,000) ($113,000) $10,000

4 0

3 years ago

Actors and actresses wear costumes to give people the impression that they are someone else. This makes their performances seem

Lorico [155]

Answer:

wearing a suit to a job interview: ethical wearing an expensive suit to impress others not ethical, wearing your best dress suit to a formal banquet ethical wearing a law enforcement uniform to gain respect not ethical, finally wearing a certain type of style clothes to fit in with the desired crowd not ethical hope this helps good luck!

6 0

1 year ago

Your landscaping company can lease a truck for $7,800 a year (paid at year-end) for 6 years. It can instead buy the truck for $3

Alexandra [31]

Question:

Graded assignment(towards 15% Hw grade) Saved Help Save& Exit Submit Check my work Your landscaping company can lease a truck for $7,800 a year (paid at year-end) for 6 years. It can instead buy the truck for $38,000. The truck will be valueless after 6 years. The interest rate your company can earn on its funds is 7%. 10 points

What is the present value of the cost of leasing?

Answer:

Cost of lease = $37,179.01

Explanation:

Leasing is a finance arrangement where one party (the lessor) transfers the right to use an asset to another party (the leasse) in exchange for a rent.

The cost of a lease to the leasee is the present value of the future lease payment discounted at the cost of capital.

So using the present value of annuity formula, we can work out the cost of the lease arrangement as follow:

PV =A× (1- 1+r)^(-n)/r

PV- Present Value

r- interest rate

n- number of years

A- annual lease payment

PV -

A-7,800

r-7%

n-6

PV = 7,800× (1- (1.07)^(-6)/0.07 = 37,179.01

Present Value = $37,179.01

Cost of lease = $37,179.01

5 0

3 years ago

Montana Mining Co. (MMC) paid $200 million for the right to explore and extract rare metals from land owned by the state of Mont

algol [13]

Answer:

The beginning of the extraction activities is 14.7 million.

Explanation:

Please find the detailed answer as follows:

Present Value of Cash Flows Expected From the Project/Asset Retirement Obligation at the Beginning = (.60*10 + .40*30)*PVIF(7%,3 Years) = (.60*10 + .40*30)*.81630 = 14.7 million .

8 0

3 years ago

You have taken out a $225,000, 3/1 ARM. The initial rate of 5.8% (annual) is locked in for three years and is expected to increa

RoseWind [281]

Answer:

$1,320.19

Explanation:

Loan amount = $225,000

Rate = 5.80%

Years = 30

PMT = ?

Initial payment = PMT(Rate/12, Years*12, -225,000)

Initial payment = PMT(5.80%/12, 360, -225,000)

Initial payment = 1320.185230439806

Initial payment = $1,320.19

Therefore, the initial payment on the loan is $1,320.19

8 0

2 years ago