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balu736 [363]
2 years ago
14

Webster's Words has a printing press which they are not using at the present time. In fact, they have not used this equipment fo

r two years. The equipment has no market value because it has been customized to their particular operations. They could sell the machine as scrap metal for $1,500 maximum. The press is eight years old and cost $163,000 new. The current book value is $2,100. The company is trying to decide if a new project would be a feasible means of utilizing this equipment. The value of the press that should be included in the project analysis is:
Business
1 answer:
Free_Kalibri [48]2 years ago
4 0

The value of the press that  Webster's Words should include in the project analysis is $1,500.

The two major considerations in a project analysis are the cost of the project input and the value that the project's output will generate for the entity.

In this scenario, the current book value of the press is <em>not relevant</em> in the project analysis. The scrap value should be considered as it produces a value that can reduce the project's cost and not the <em>committed or sunk cost</em> of the old press.

Data and Calculations:

Maximum scrap value of press = $1,500

Initial cost of the press eight years ago = $163,000

Current book value = $2,100

Relevant value of the press = $1,500 (scrap value)

Thus, the value of the press in the project analysis is $1,500.

Learn more: brainly.com/question/13813417

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mariarad [96]

Answer:

It is said that when Okomfo Anokye was born in Awukugua he was already holding in his right hand a short white tail of a cow (Podua); and he had so firmly clenched the fist of the other hand that no one could open it. The woman who went to deliver the labouring mother tried to open it because she suspected there was something in it. The father was called in to assist... Okomfo Anokye opened his eyes and, staring at the father, quickly opened the mysterious hand, showing it to the father and saying "Ano....Kye" (Guan language) meaning "Ano...see" and gave to the father what was in it. It is alleged that it was a talisman. From this incident Kwame Agyei got his name "Anokye".

Explanation:

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3 years ago
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3 years ago
Craft, Inc. normally produces between 120,000 and 150,000 units each year. Producing more than 150,000 units alters the company'
yawa3891 [41]

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Relevant Range

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The production range between 120000 and 150000 is called the "Relevant range".

This production range is called Relevant range because the expected fixed cost will not vary if the production is in the range 120000 to 150000.

Also, the for increase in production more than 150000 will lead to the extra cost or if the production is less than 120000 the company may need to reduce its fixed cost.

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3 years ago
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VikaD [51]

Answer:

The straight line depreciation for the first year is $24000

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The straight line method of depreciation charges/allocates a constant amount of depreciation through out the useful life of the asset. The straight line depreciation expense for the year is calculated as follows,

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