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hello, pls answer asap! will rate thank you so much! Question 12 10 pts Certain new machinery used in manufacturing of motor vehicles, when placed
hello, pls answer asap! will rate thank you so much!
Question 12 10 pts Certain new machinery used in manufacturing of motor vehicles, when placed in service, is estimated to cost $275,000. It is expected to reduce net annual operating expenses by $50,000 per year for 10 years and to have a $40,000 MV at the end of the 10th year. Assume that the firm is in the federal taxable income bracket of $335,000 to $10,000,000 and that the state income tax rate of 7.5%. State income taxes are deductible from federal taxable income. This machinery is to be depreciated using the MACRS (GDS). Develop the BTCFs and ATCFs and compute for the respective PWs at EOY O using an MARR of 12%. EOY Before. Tax Cash Depreciation {xx.xx} ($) Flow {xx.xx) ($) Taxable Income (xx.xx) ($) Cash Flow for Income (xx.xx) ($) 0 1 [Select) 2 3 Select 4 5 6 EOY Before- Tax Cash Depreciation (xx.xx} ($) Flow {xx.xx) ($) Taxable income {xx.xx) ($) Cash Flow for Income (xox.xx) ($) 0 1 [Select) 2 3 Select) 4 5 6 7 8 Select) 9 10 PW(O) using MARR Taxable income (xx.xx} ($) Cash Flow for Income Taxes [xx.xx) (5) After-Tax Cash Flow (xx.xx} ($) Select 1 Select) Select) Select) Question 12 10 pts Certain new machinery used in manufacturing of motor vehicles, when placed in service, is estimated to cost $275,000. It is expected to reduce net annual operating expenses by $50,000 per year for 10 years and to have a $40,000 MV at the end of the 10th year. Assume that the firm is in the federal taxable income bracket of $335,000 to $10,000,000 and that the state income tax rate of 7.5%. State income taxes are deductible from federal taxable income. This machinery is to be depreciated using the MACRS (GDS). Develop the BTCFs and ATCFs and compute for the respective PWs at EOY O using an MARR of 12%. EOY Before. Tax Cash Depreciation {xx.xx} ($) Flow {xx.xx) ($) Taxable Income (xx.xx) ($) Cash Flow for Income (xx.xx) ($) 0 1 [Select) 2 3 Select 4 5 6 EOY Before- Tax Cash Depreciation (xx.xx} ($) Flow {xx.xx) ($) Taxable income {xx.xx) ($) Cash Flow for Income (xox.xx) ($) 0 1 [Select) 2 3 Select) 4 5 6 7 8 Select) 9 10 PW(O) using MARR Taxable income (xx.xx} ($) Cash Flow for Income Taxes [xx.xx) (5) After-Tax Cash Flow (xx.xx} ($) Select 1 Select) Select) Select) Step by Step Solution
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