Problem 12-16 Relatie Cash Flows Initial CF - 1.175,000 265,000 New Machine Salvage on Old Machine Tax Savings on Old (600,000-205,000335 Not initial CF 117.250 -792,750 Depreciation Schedules Inital Basis Old Machine 600,000 Str Line Adjusted Depreciation Basis Bhika Year New Machine 1.175.000 Adjusted Depreciation Basis Year Dep R 1 2 3 De Dep 5 6 7 120,000 120,000 120,000 120,000 120,000 600,000 480,000 360 000 240.000 120.000 1 2 3 4 5 02 0.32 0,19 0.12 0.11 235000 376000 223250 141000 129250 140,000 564000 340.750 199.750 70 500 115.000 250,000 103,250 21,000 9.250 CFBT- 3408000 Year CF Operating CFs Year CFBT Delta Dep Taxable income Taxes 35% CFAT 1 255,000 115,000 140,000 49,000 2 255.000 256,000 1.000 -350 2 255,000 103,250 151,750 53.112.50 4 255,000 21.000 234,000 81,900 5 255.000 9.250 245,750 36,012.50 206,000 255,350 201,350 173,100 168,90 1 2 3 4 -792,750 205,000 255350 201.8 173.100 287313 ht Dhe C 120.000 240.000 120.000 Q10 0.12 0.11 4 5 H 223250 541000 128250 340.750 199.750 8 103250 21,000 9.250 70.500 CFT 3408000 Year CF CHAT Operating CF Year CFBT Delta Dep Taxable income Taxe 35% 1 255.000 115.000 140,000 49,000 2 255.000 256,000 -1000 3 255.000 103.250 151750 4 53.112.50 255,000 21.000 234.000 81.900 255,000 9.250 245.750 16.012,50 200.000 255,350 2010:53 173.100 168,000 1 2 3 4 -792,750 206.000 255.350 201 888 173,100 287,913 Terminal CFS Year Sange New Taxes on New 1145000-705008035 7 145.000 26075 Savage old NPV Tex CHAT 514.819 12.595 o 118.225 NPY 11.10 Athe 1 19.30 20.00 17.100 Problem 12-16 Relatie Cash Flows Initial CF - 1.175,000 265,000 New Machine Salvage on Old Machine Tax Savings on Old (600,000-205,000335 Not initial CF 117.250 -792,750 Depreciation Schedules Inital Basis Old Machine 600,000 Str Line Adjusted Depreciation Basis Bhika Year New Machine 1.175.000 Adjusted Depreciation Basis Year Dep R 1 2 3 De Dep 5 6 7 120,000 120,000 120,000 120,000 120,000 600,000 480,000 360 000 240.000 120.000 1 2 3 4 5 02 0.32 0,19 0.12 0.11 235000 376000 223250 141000 129250 140,000 564000 340.750 199.750 70 500 115.000 250,000 103,250 21,000 9.250 CFBT- 3408000 Year CF Operating CFs Year CFBT Delta Dep Taxable income Taxes 35% CFAT 1 255,000 115,000 140,000 49,000 2 255.000 256,000 1.000 -350 2 255,000 103,250 151,750 53.112.50 4 255,000 21.000 234,000 81,900 5 255.000 9.250 245,750 36,012.50 206,000 255,350 201,350 173,100 168,90 1 2 3 4 -792,750 205,000 255350 201.8 173.100 287313 ht Dhe C 120.000 240.000 120.000 Q10 0.12 0.11 4 5 H 223250 541000 128250 340.750 199.750 8 103250 21,000 9.250 70.500 CFT 3408000 Year CF CHAT Operating CF Year CFBT Delta Dep Taxable income Taxe 35% 1 255.000 115.000 140,000 49,000 2 255.000 256,000 -1000 3 255.000 103.250 151750 4 53.112.50 255,000 21.000 234.000 81.900 255,000 9.250 245.750 16.012,50 200.000 255,350 2010:53 173.100 168,000 1 2 3 4 -792,750 206.000 255.350 201 888 173,100 287,913 Terminal CFS Year Sange New Taxes on New 1145000-705008035 7 145.000 26075 Savage old NPV Tex CHAT 514.819 12.595 o 118.225 NPY 11.10 Athe 1 19.30 20.00 17.100