Question Hop Calculating Inicial Investment Dupree Coffee Roasters, Inc. wishes to expand and modern states. The installed out of a proposed computer controlled tomato feed role will be $138,000. The firm has a chance to tell ta 3-year-old roster for $34.600 The wisting role originally cost $59.500 and was being deprecated in MACRS and a year recovery periode hele DuPreels subject to a 40% What is the book value of the distingrooster Calculate the proceeds of new of the existing role 6. Calculate the change in not working explain the following for Anticipated Changes in Current Assets and Current Liabilities Acne -$19.00 Datin Tbile Inventory +40.500 Accounts payable +40.000 Accounts receivable - 70.000 Click on the one in onder to copy of the datatable below into pradsheet Cash 0 The remaining book value of the singer Round nearest Rounded Depreciation Percentages by Hecovery Year Uning MACRS for First Four Property Percentage by recovery year Recovery year 3 years 5 years 7 years 10 years 33% 20 10% 20 1 19 105 14% 7 12 5 7 7 6% ON 10 o 4 Total 100% 100 100% 100% Theses tuve been founded to the new percent omply can we To the depresion for purposes, be sur le placul Enter your answering box and then click CHKA wounded percentage or directly openghance (200% depreciation that year P11-10 (similar to) Calculating initial investment Dupree Coffee Roasters, Inc, wishes to expand and modernize its facilities. The installed cost of a proposed computer-controlled automatic feed roaster will be $138,000. The firm has a chance to sell its 3 year-old roaster for $34,600 The existing roaster originally cost $50,500 and was being depreciated using MACRS and a 7-yell recovery period (see the table | DuPree is subject to a 40% tax rate. a. What is the book value of the existing roaster? b. Calculate the after tax proceeds of the sale of the existing roaster c. Calculate the change in networking capital using the following figures Anticipated Changes in Current Assets and 1 Current Liabilities Accruals -$10,000 Inventory 49,500 lo Accounts payable +40 000 Accounts receivable +70,000 a. The remary book value of the existing roasters | (Round to the nearest doll) 5) 10 nel I wil Enter your answer in the answer box and then click Chock Answer parts Clear All Check Answer (Click on the icon here in order to copy the contents of the data table below into a spreadsheet) Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Percentage by recovery year Recovery year 3 years 5 years 7 years 10 years 1 33% 20% 14% 10% 2 45% 32% 25% 18% 15% 19% 18% 14% 7% 12% 12% 12% 12% 9% 9% 5% 9% 8% 7% 4% 6% 9 6% 10 6% 11 4% Totals 100% 100% 100% 100% *These percentages have been rounded to the nearest whole percent to simplify calculations while retaining realism. To calculate the actual depreciation for tax purposes, be sure to apply the actual unrounded percentages or directly apply double-declining balance (200%) depreciation using the half-year convention DOWN- 9% Print Done
