Answer:
It should replace the equipment
Explanation:
continue replace Differential
Proceeds from sale - 8,500 8,500
Cost
purchase - -110,000 -110,000
cost savings (5 years) 115,000 115,000
Total cost - 5,000 5,000
Net - 13,500 13,500
Answer:
a) Product G should be produced and sold
b) Net financial advantage $80
Explanation:
<em>A company should process further a product if the additional revenue from the split-off point is greater than than the further processing cost. </em>
<em>Also note that all cost incurred up to the split-off point are irrelevant to the decision to process further . </em>
$
Revenue after split-off point
($9× 40 litres) 360
Revenue at the slit of point
($4 × 40) <u> (160)</u>
Additional income from further processing 200
Further processing cost ($3× 40) <u>(120)</u>
Incremental income from further processing <u> 80</u>
Incremental income from further processing = $80
a) The product F should be processed further and sold as product G. Doing so would increase the net income by $80.
b) Net advantage $80
I believe the answer is D!
Have a Warm and Wonderful Day!!
Answer:
A) 4000
Explanation:
Long term capital losses cannot be set of against the long term capital gains of next year
As a result an individual taxpayer should report in the
year 3 is $4000
Answer:
I'm sorry, but the way you worded this is impossible to understand. SO therefore, I cannot answer your question.
Explanation: