Answer:
$24,400
Explanation:
The computation of the after tax salvage value at the end of year 4 is shown below:
Before that following calculation need to be determined
Book value = Cost - Accumulated depreciation
= $80,000 - ($16000 × 4 years)
= $16,000
Now gain on sale is
= $30,000 - $16,000
= $14,000
Now
After-tax cash flow is
= Sale proceeds - (Tax rate × Gain on sale)
= $30,000 - ($14000 × 40%)
= $24,400
Answer:
c) $86,823
Explanation:
The balance in the lease payable after two years will be: $86,823
Answer:
Hence,
the amount paid by the Stephanie = $410
The amount covered by PPO = $440
Explanation:
Given:
Percent covered by the insurance = 80%
Annual deductible = $300
Total emergency room bill = $850
Now,
The Coinsurance expenses = Total expenses − Annual deductible
or
The Coinsurance expenses = $850 - $300 = $550
The amount covered by PPO
= Percent covered × Coinsurance expenses
= 0.80 × $550 = $440
Therefore,
the amount paid by the Stephanie
= Annual deductible + (Coinsurance expenses - amount covered by PPO)
= $300 + $550 - $440 = $410
Hence,
the amount paid by the Stephanie = $410
The amount covered by PPO = $440
The <span>method of evaluating capital investment proposals that uses the concept of present value to compute a rate of return would be: </span>internal rate of return
the internal rate of return method of evaluation analyze the present value of all cash flows from all investments.
This method is most commonly used to determine whether a potential investment will be profitable or not.
the preferred debt to income ratio is usually B 36%
