The initial estimates were that the project would cost

Assignment Help Accounting Basics
Reference no: EM13483667

Could someone please help me with this problem?Quillen Company is performing a post-audit of a project completed one year ago.

The initial estimates were that the project would cost $250,000, would have a useful life of 9 years, zero salvage value, and would result in net annual cash flows of $46,000 per year. Now that the investment has been in operation for 1 year, revised figures indicate that it actually cost $260,000, will have a useful life of 11 years, and will produce net annual cash flows of $39,000 per year. Evaluate the success of the project.

Assume a discount rate of 10%.

Reference no: EM13483667

Questions Cloud

A year later interest rates have dropped and the bonds : suppose you buy a bond for 1020 with a 15-year maturity paying an annual coupon of 80. a year later interest rates
Scorpion inc is trying to decide whether to increase the : scorpion inc. is trying to decide whether to increase the commission based pay of its salespeople. currently each of
Company abc wants to invest in a swedish manufacturing : scenario company abc wants to invest in a swedish manufacturing company that has an optimal debt ratio of 60. company
A british government perpetuity pays pound4 a year forever : a british government perpetuity pays pound4 a year forever and is selling for pound48. what is the interest
The initial estimates were that the project would cost : could someone please help me with this problem?quillen company is performing a post-audit of a project completed one
At the beginning of the current period griffey corp had : at the beginning of the current period griffey corp. had balances in accounts receivable of 240500 and in allowance for
D the concept of managementnbsp describe the : please read each question carefully. 1. define the concept of management.nbsp describe the major functions
Prove to yourself that it does not matter the point in : you have won a contest and now must decide which prize you want. with prize a you receive 5000 today and another 5500
Record entries for any items on the bank reconciliation : 1. on march 31 2013 home decorating pavilion received a bank statement containing a balance of 9750. the balance in the

Reviews

Write a Review

Accounting Basics Questions & Answers

  Corporate law case studies

Corporate Law Case Studies, case for  Designco Pty ltd designs, manufactures and distributes craft kits for children, case for  Andrew and Belinda are the only shareholders and directors of Sailors Pty Ltd

  Classification as a long-term liability

Calculate the amount of the note payable at December 31, 2009 that would be classified as a long-term liability. Do not use decimals in your answer.

  Inventory-notes-journal entries

Candlestick Corporation purchased raw material used for manufacturing candles from a supplier on June 1. The total amount of the purchase was $10,500 of which $3,000 was paid on the day of purchase. The remaining amount owed is due to the suppler ..

  Fair market value of the stock

If a stockholder receives a dividend that reduces retained earnings by the fair market value of the stock, the stockholder has received a

  What is advertising how many types of advertising

what is advertising?how many types of advertising?advertising is the most important?advertising is the most

  Journal entry to record transaction by perpetual inventory

On December 1, 2008, ABC Linens sold merchandise which costs $400 on account to the Green Hotel Co. for $600 with terms of 3/10, n/30. ABC Linens uses a perpetual inventory system. The journal entry to record this transaction on ABC Linens' books ..

  Discuss normative theory

Why does it appear that to be highly successful (particularly in a financial sense), we assume that the gains are achieved unethically? Would you cite examples of how (or when) positive and normative theory are used together? What is the benefit of..

  Problem related to early retirement from company

John Roberts is 55 years old and has been asked to accept early retirement from his company. The company has offered John three alternative compensation packages to induce John to retire:

  Fixed maintenance cost and variable maintenance cost

Find monthly fixed maintenance cost and the variable maintenance cost per driver unit using the visual-fit method based on each potential cost driver. Explain how you treated the April data.

  What are sales at the break-even point

Variable expenses for Alpha Company are 40% of Sales. What are sales at the break-even point, assuming that fixed expenses total $150,000 per year:

  Equivalent units produced of direct material

Assume this company uses the FIFO method of process costing and direct material is added uniformly throughout the process. What are the equivalent units produced of direct material?

  She paid 131000 in cash and gave 142000 interest bearing

computer marys income or deductions for 2012 using the 1 cash basis and 2 the accrual basis for each of the following

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd