HW924pointseBookHintSavedSonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of$45,900. The equipment has an estimated residual value of $1,800. The equipment is expected to process 273,000 payments over itsthree-year useful life. Per year, expected payment transactions are 65,520, year 1; 150,150, year 2; and 57,330, year 3.Required:Complete a depreciation schedule for each of the alternative methods.1. Straight-line.2. Units-of-production.3. Double-declining-balance.Complete this question by entering your answers in the tabs below.PrintRequired 1 Required 2 Required 3ReferencesComplete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.]IncomeStatementBalance SheetYearDepreciationExpenseCostAccumulatedDepreciationBook ValueAt acquisition123< Required 2Required 3>

The objective of the question is to calculate the depreciation expense for each year using three…

Answered: HW9 2 4 points eBook Hint Saved Sonic…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Required information Exercise 13-8 Payback Period and Simple Rate of Return [LO13-1, LO13-6] [The following information applies to the questions displayed below.] Nick’s Novelties, Inc., is considering the purchase of new electronic games to place in its amusement houses. The games would cost a total of $332,000, have a fifteen-year useful life, and have a total salvage value of $33,200. The company estimates that annual revenues and expenses associated with the games would be as follows: Revenues $ 280,000 Less operating expenses: Commissions to amusement houses $ 80,000 Insurance 57,000 Depreciation 19,920 Maintenance 60,000 216,920 Net operating income $ 63,080 Garrison 16e Rechecks 2017-05-22 Exercise 13-8 Part 2 2a. Compute the simple rate of return promised by the games. 2b. If the company requires a simple rate of return of at least 12%, will the games be purchased?
B240 Final Exam W2024 Question 12 of 13 Kingbird Corporation is considering buying a brand new machine and has gathered the following data: Investment Estimated life Estimated annual cash inflows $104,400 6 years $29,100 Estimated annual cash outflows $10,500 Salvage value for the machine is estimated to be zero. Click here to view the factor table. -/8 III Calculate the net present value of the machine assuming a 5% discount rate. (If the net present value is negative, use either a negative sign preceding the number eg-45 r parentheses eg (45). For calculation purposes, use 5 decimal places as displayed in the factor table provided, e.g. 1.25124. Round present value answer to O decimal places, e.g. 125.) Net Present Value $ Should the company buy the machine based on your results? SUPPORT
1 3 points eBook Hint Print Wendell's Donut Shoppe Is Investigating the purchase of a new $39,600 donut-making machine. The new machine would permit the company to reduce the amount of part-time help needed, at a cost savings of $5,400 per year. In addition, the new machine would allow the company to produce one new style of donut, resulting in the sale of 2.500 dozen more donuts each year. The company realizes a contribution margin of $2.00 per dozen donuts sold. The new machine would have a six-year useful life. Click here to view Exhibit 14B-1 and Exhibit 14B-2 to determine the appropriate discount factor(s) using tables. Required: 1. What would be the total annual cash inflows associated with the new machine for capital budgeting purposes? 2. What discount factor should be used to compute the new machine's internal rate of return? (Round your answers to 3 decimal places.) 3. What is the new machine's Internal rate of return? (Round your final answer to the nearest whole…
es Problem 2-30 CCA and UCC (LO5) Our new computer system cost us $136,000. We will outgrow it in five years. When we sell it, we will probably get only 10% of the purchase price. CCA on the computer will be calculated at a 30% rate (Class 10). Calculate the CCA and UCC values for five years. (Round your intermediate calculations and final answers to 2 decimal places. Omit $ sign in your response.) Year 1 2 3 4 5 $ $ $ $ $ $ CCA 61200 Ending UCC $ 74800 $ $ $ $ What will be the after-tax proceeds from the sale assuming the asset pool remains open? Assume a 40% tax rate. (Omit $ sign in your response.) After-tax proceeds
Problem 6-23 Equivalent Annual Cost Sheep Ranch Golf Academy is evaluating new golf practice equipment. The "Dimple- Max" equipment costs $125,000, has a 6-year life, and costs $9,600 per year to operate. The relevant discount rate is 9 percent. Assume that the straight-line depreciation method is used and that the equipment is fully depreciated to zero. Furthermore, assume the equipment has a salvage value of $9,300 at the end of the project's life. The relevant tax rate is 24 percent. All cash flows occur at the end of the year. What is the equivalent annual cost (EAC) of this equipment? (A negative amount should be Indicated by a minus sign. Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct. 29,221.50 X EAC $
Exercise 10-12A (Algo) Determining the payback period LO 10-4 Fanning Airline Company is considering expanding its territory. The company has the opportunity to purchase one of two different used airplanes. The first airplane is expected to cost $14,800,000; It will enable the company to Increase its annual cash Inflow by $3,700,000 per year. The plane is expected to have a useful life of five years and no salvage value. The second plane costs $34,800,000; It will enable the company to increase annual cash flow by $5,800,000 per year. This plane has an eight-year useful life and a zero salvage value. Required *1. Determine the payback period for each Investment alternative. a2. Identify the alternative Fanning should accept if the decision is based on the payback approach. Note: Round your answers to 1 decimal place. a-1. Alternative 1 (First plane) a-1. Alternative 2 (Second plane) a-2. Fanning should accept Payback Period years years
Sh14 Please help me. Solution
Insmginps Problem 12 The Tree Line Inn has purchased a shuttle bus to transport guests to and from a local ski lodge. The cost of the bus is $40,000; its salvage value is $4,000; and its life is five years with expected usable mileage of 100,000. nousioonqob launna orh otsluols barliom soncled ginibab oldaob atil ort 19vo Required: Calculate the first year's depreciation under each of the following methods: 1. Straight-line. 000.0082 to eslna bad insucies 2. Units of production, assuming the bus traveled 15,000 miles in year 1. gnib 000(001 3. Sum-of-the-years' digits. 4. Double declining balance.
E) 36.1% increase dovig 2. In 2010 a company increased its workforce by 60%. In 2011 it decreased its workforce by 60%. How does the size of its workforce at the end of 2011 compare with the size of the workforce at the beginning of 2010? A) It is 6% higher. B) It is 6% lower. C) It is unchanged. D) It is 36% lower. E) It is 36% higher. oni 3. The U.S. national debt was about $17.5 trillion at the end of April, 2014. If the U.S. population at that time was 322 million people, determine the amount each citizen of the U.S. would need to contribute to completely eliminate our country's debt, assuming we would distribute the debt equally among all citizens. LA A) About $543 B) About $54,348 C) About $5,435 D) About $5,434,783 E) About $543,478
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2:38 d ces The following information applies to the questions displayed below.] Cardinal Company is considering a five-year project that would require a $2,955,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 18%. The project would provide net operating income in each of five years as follows: Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed. out-of-pocket costs $750,000 591,000 $ 2,865,000 1,015,000 1,850,000 Depreciation Total fixed expenses Net operating income Click here to view Exhibit 128-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table. Profitability index 1,341,000 $ 509,000 Foundational 12-5 (Algo) 5. What is the profitability index for this project? (Round your answer to 2 decimal places.)
5 Homework Finch Freight Company owns a truck that cost $41,000. Currently, the truck's book value is $24,000, and its expected remaining useful life is four years. Finch has the opportunity to purchase for $30,500 a replacement truck that is extremely fuel efficient. Fuel cost for the old truck is expected to be $6,100 per year more than fuel cost for the new truck. The old truck is paid for but, in spite of being in good condition, can be sold for only $18,000. Required Calculate the total relevant costs. Should Finch replace the old truck with the new fuel-efficient model, or should it continue to use the old truck until it wears out? Replace With New Keep Old Total relevant costs Should Finch replace or continue the old truck? Replace the old truck. Continue to use the old truck.

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