A company is planning to buy a machine. The cost of the new machine i 50,000...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
A company is planning to buy a machine. The cost of the new machine i 50,000 TL, and the transportation and assembly cost is 30,000 TL. The old machine has been completely depreciated and as soon as the new machine is purchased, the old machine can be sold for 7000 TL. The service life of the new machine is 5 years and the company uses the straight-line method of depreciation. The tax rate is 40%. What should be the cash inflow/output for this investment? A company is planning to buy a machine. The cost of the new machine i 50,000 TL, and the transportation and assembly cost is 30,000 TL. The old machine has been completely depreciated and as soon as the new machine is purchased, the old machine can be sold for 7000 TL. The service life of the new machine is 5 years and the company uses the straight-line method of depreciation. The tax rate is 40%. What should be the cash inflow/output for this investment?
Expert Answer:
Answer rating: 100% (QA)
Cash Inflow 50000 TL 30000 TL 7000 TL 87000 TL Cash Outflow 50000 TL 40 x 50000 TL 70000 TL Ne... View the full answer
Related Book For
Automation Production Systems and Computer Integrated Manufacturing
ISBN: 978-0132393218
3rd edition
Authors: Mikell P.Groover
Posted Date:
Students also viewed these finance questions
-
A company is planning to invest $100,000 (before tax) in a personnel training program. The $100,000 outlay will be charged off as an expense by the firm this year (year 0). The returns from the...
-
A company is planning to invest $75,000 (before taxes) in a personnel training program. The $75,000 outlay will be charged off as an expense by the firm this year (year 0). The returns estimated from...
-
A trucking company is planning to buy a new fleet of trucks. They have narrowed the choice to five models, each of which has about the same purchase price. It is decided to conduct a study to...
-
What are the uses of performance appraisal?
-
The post is to be pulled out of the ground using two ropes A and B. Rope A is subjected top a force of 600 lb and is directed at 60 from the horizontal. If the resultant force acting on the post is...
-
Rene St. Clair is a 28-year old occupational therapist living in the Annex district of Toronto. She recently graduated from the University of Toronto and now works as an independent contractor...
-
Discuss the variables of the marketing mix (product, price, promotion, and distribution) as they might relate to each of the following: a. A trucking company b. A mens clothing store c. A skating...
-
Suppose that workers involved in manufacturing are paid less than all other workers in the economy. What would be the effect on the real income distribution within the economy if there were a...
-
shadow. a) Draw a picture that creates a right triangle to represent the situation. b) Find all of the angle measures in the triangle. Round your answer to the nearest tenth.
-
Harper Morgan owns White Mountain Assessments in Laconia, New Hampshire. The standard workweek is 40 hours. For the weekly payroll ending September 9, 2022, checks dated September 14, 2022, complete...
-
Determine the contribution margin in dollars, per unit, and as a ratio. Contribution margin $ 20700 Contribution margin $ 36 per client Contribution margin ratio 30 % eTextbook and Media (b) Using...
-
Given 6 Lf(x) dx = 7 and [f(x) dx = -3 evaluate each definite integral. 6 (a) 1 f(x) dx = [ 3 f(x) dx = (b) [ f(x) (c) 3 f(x) dx = = LRON- Lf(x) 3 (d) 6 -10f(x) dx = [ 3
-
Discuss the impact of disruptive technologies on business management practices.
-
(3) Four identical blocks A-D are sitting on a horizontal surface, as shown below. Different external forces are acting on each block, as shown with force vector arrows. The weight of each block is...
-
How does an investigator need to understand terminology?
-
Describe how you helped the team implement service risk management strategies for this child with allergies at the center?
-
Need help with this question. During the current year, Harper donates stock worth $34,000 to her local community college. Two years ago the stock cost Harper $30,000. Her AGI for the current year is...
-
Is that Yelp review real or fake? The article A Framework for Fake Review Detection in Online Consumer Electronics Retailers (Information Processing and Management 2019: 12341244) tested five...
-
A variety of assembled products are made in batches on a batch model assembly line. Every time a different product is produced, the line must be changed over which causes lost production time. The...
-
For each of the three control charts, identify whether or not there is evidence that the process depicted is out of control.
-
Solve Problem 11.5 except that the ratio of single-command to dual-command cycles is 3:1 instead of 1:1. Problem 11.5 The length of the storage aisle in an AS/RS = 240 ft and its height = 60 ft....
-
What are some of the major reasons why a business or accounting student should be interested in international business?
-
Why are Japanese companies among the largest in the world?
-
What are some of the different ways in which a firm can get involved in international business?
Study smarter with the SolutionInn App