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babunello [35]
2 years ago
7

iSooky has a spotter truck with a book value of $52,000 and a remaining useful life of 5 years. At the end of the five years the

spotter truck will have a zero salvage value. The market value of the spotter truck is currently $38,000. iSooky can purchase a new spotter truck for $132,000 and receive $32,200 in return for trading in its old spotter truck. The new spotter truck will reduce variable manufacturing costs by $26,200 per year over the five-year life of the new spotter truck. The total increase or decrease in income by replacing the current spotter truck with the new truck (ignoring the time value of money) is:
Business
1 answer:
Lina20 [59]2 years ago
6 0

Answer:

Increase by $31,200

Explanation:

                                         Retain Truck    Replace Truck   Net Increase

Sale price of old Truck     $0                       $32,200            $32,200

Cost of New Truck            $0                     -$132,000          -$132,000

Variable manuf. cost        -$131,000            $0                      $131,000

Net Income                      -$131,000          -$99,800            $31,200

The total increase in income by replacing the old Truck is $31,200.

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kolezko [41]

Answer:

                                                                         $                            $

Net Income (137000*30%) (a)                                             41,100

Add:  

Unrealized gains in the beginning inventory 40,000  

Unrealized gains at the end of the year         25,000  

Difference                                                         15,000  

(NCI in Unrealized gain (15,000*30%) (b)                             4,500

Non-controlling interest's share of Devin's net income for 2012 ($41,100+$4,500)                                                                    45,600

Non-controlling interest's share of Devin's net income for 2012= $45,600

Explanation:

7 0
3 years ago
All of the following are examples of financial stability except. a. being able to save for retirement. b. being able to pay bill
Setler79 [48]

Answer:

d. living paycheck to paycheck

Explanation:

Being financially stable means the ability to generate sufficient income to meet current and future expenditures. It means one can comfortably pay current bills, and have enough to meet for unexpected or emergency expenses.  A financially stable person can afford the basic need as well secondary needs such as education, investments, and vacations with ease.

From the list provided, examples of financial stability will include the ability to save for the future, meet current bills, and not living paycheck to paycheck. Living from paycheck to paycheck means a person spends all his or her earnings within the month. In most cases, their monthly budgets exceed income. The individual may have slightly enough or insufficient resources to last them until the next payday.

4 0
3 years ago
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This system can help a business monitor quantitative business factors

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The Inventory and transaction systems are usually there to report on the tangible benefits of the transaction that are being made and the commerce that is happening for the business over all.

These inventories are thus to be deigned and computed in the manner that would best align with the interest of the company and the firm that is needed for the quantitative business.

Quantitatively, one would need substantial data and this can provide it well.

3 0
3 years ago
When a dividend is not declared on preferred stock, and the common share­holders cannot receive a dividend until all past and cu
Lady_Fox [76]

Answer:

cumulative.

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Feinstein, Inc., an appliance manufacturer, is developing a new line of ovens that uses controlled-laser technology. The researc
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The research and testing costs associated with the new ovens is said to arise from a product-sustaining activity.

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