ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Chapter 12A, Problem 27P
To determine
To compute:The after-tax account balance after 24 years of investment.
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As a part-time college instructor, Kathy im teaches an introductory course on Mexican history. She has a biweekly gross income of $3654.75. Her before-tax deductions include a short-term disability premium of 0.5%, union dues of 3.1%, and a pension amount of 4%. If she pays federal tax at a rate of 18.5%, provincial tax at a rate of 6.2%, CPP at 4.95%, and EI at 2.2%, what is her net income?
Juan DeBaptist purchased $10,000 in corporate stock on June 1 and sold the stock when its value reached $13,000 on October 26. Ignoring stock transaction fees, what federal taxes did Juan pay on this stock investment if his taxable income is $90,000? Assume a capital gains tax rate of 15%.
The Shell Corporation has a 34% tax rate and owns a piece of petroleum-drilling
equipment that costs $119,000 and will be depreciated at a CCA rate of 30%. Shell will
lease the equipment to others and each year receive $33,100 in rent. At the end of
five years, the firm will sell the equipment for $31,600. All values are presented in
today's dollars.
Calculate the overall present worth of these cash flows with tax effects if market
interest rate is 10% and annual inflation rate is 2%.
(Note: Don't use the $ sign in your answer and round it up to 2 decimal
places)
Chapter 12A Solutions
ENGR.ECONOMIC ANALYSIS
Ch. 12A - Prob. 1PCh. 12A - Prob. 2PCh. 12A - Prob. 3PCh. 12A - Prob. 4PCh. 12A - Prob. 5PCh. 12A - Prob. 6PCh. 12A - Prob. 7PCh. 12A - Prob. 8PCh. 12A - Prob. 9PCh. 12A - Prob. 10P
Ch. 12A - Prob. 11PCh. 12A - Prob. 12PCh. 12A - Prob. 13PCh. 12A - Prob. 14PCh. 12A - Prob. 15PCh. 12A - Prob. 16PCh. 12A - Prob. 17PCh. 12A - Prob. 18PCh. 12A - Prob. 19PCh. 12A - Prob. 20PCh. 12A - Prob. 21PCh. 12A - Prob. 22PCh. 12A - Prob. 23PCh. 12A - Prob. 24PCh. 12A - Prob. 25PCh. 12A - Prob. 26PCh. 12A - Prob. 27PCh. 12A - Prob. 28PCh. 12A - Prob. 29PCh. 12A - Prob. 30PCh. 12A - Prob. 31PCh. 12A - Prob. 32PCh. 12A - Prob. 33PCh. 12A - Prob. 34PCh. 12A - Prob. 35PCh. 12A - Prob. 36PCh. 12A - Prob. 37PCh. 12A - Prob. 38PCh. 12A - Prob. 39PCh. 12A - Prob. 40P
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