Key Enterprises purchased a new machine for $90,000. This machine is expected to operate for nine (9) years, after which it will be sold for salvage value (estimated to be $9,000). How much is the net book value of the printer at the end of the second year if the company uses the double-declining-balance method? $90,000 $54,444 $15,556 $35,556

Key Enterprises purchased a new machine for $90,000. This machine is expected to operate for nine (9) years, after which it will be sold for salvage value (estimated to be $9,000). How much is the net book value of the printer at the end of the second year if the company uses the double-declining-balance method? $90,000 $54,444 $15,556 $35,556

Name: Key Enterprises purchased a new machine for $90,000. This machine is
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Description: Key Enterprises purchased a new machine for $90,000. This machine is expected to operate for nine (9) years, after which it will be sold forsalvage value (estimated to be $9,000). How much is the net book value of the printer at the end of the secon

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A machine shop purchased 10 years ago a milling machine for P65,000. A straight-line depreciation reserve had been provided on a 21-year life of the machine. The owner of the machine shop desires to replace the old milling machine with a modern unit of many advantages costing P110,000. It can sell the old unit for P25,000. How much new capital will be required for the purchase? a.Php64,047.619 b.Php80,047.619 c.Php75,047.619 d.Php90,047.619
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K Company has purchased a new machine costing $27,000 and the machine is expected to reduce the operating expenses by $7,000 every year. The useful life of machine is 5 years and the machine is expected to have a zero-scrap value at the end of its useful life. The company's required rate of return is 12%. Calculate the Net Present Value (NPV) of the machine. (Round intermediate calculations to 3 decimal places and final answer to the nearest dollar.) -$1,765 $1765 -$464 $25,235
A factory has decided to purchase some new equipment for P650, 000. The equipment will be kept for 10 years before being sold. The estimated salvage value for depreciation purposes is to be P45, 000. Using straight line method, what is the depreciation at the end of 5 years?
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Original Cost POST. ... Accumulated Depreciation for Previous Years DATE DESCRIPTION REF. DEBIT CREDIT ... Book Value, Beginning Year 4 1 20xx ... Revised Salvage Value 2 2. ... Revised Remaining Depreciation Cost 3 ... 4 Revised Useful Life 3 Years Revised Depreciation, Total Revised Depreciation, Per Year ...
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