What is the total after-tax annual cost of a machine

Assignment Help Financial Management
Reference no: EM131053105

What is the total after-tax annual cost of a machine with a first cost of $45,000 and operating and maintenance cost of $0.22 per unit produced? It will be sold for $4,500 at the end of five years. Production is 750 units per day; 250 days per year. The CCA rate is 30%, the after-tax MARR is 20%, and the corporation income tax rate is 40%. Please post all steps

Reference no: EM131053105

Questions Cloud

The purposes of health information technology : For decades now, health information technology has been transforming clinical and business practices in health care. While certain information systems, such as those for billing, are widespread, other valuable applications are taking longer to bec..
Value subordinated debenture bonds with a coupon rate : Bunkys burgers issues some new 1000 par value subordinated debenture bonds with a coupon rate of 12% payable semi annually. the bonds mature 30 yrs. the bond does not ontain a call feature or a converson feature. Compute the annual rate of return you..
The e-commerce success factors : Do the e-commerce success factors listed in Figure 9.11 guarantee success for an e-commerce business venture? Give a few examples of what else could go wrong and how you would confront such challenges.
Africans operating under assumption : In your experience do you believe that most people (or yourself personally) think of drums and drumming as the major defining aspect of African music? List or describe some examples of things that might contribute to non-Africans operating under ..
What is the total after-tax annual cost of a machine : What is the total after-tax annual cost of a machine with a first cost of $45,000 and operating and maintenance cost of $0.22 per unit produced? It will be sold for $4,500 at the end of five years. Production is 750 units per day; 250 days per year. ..
The day he retires to realize his retirement dream : Mark freeda wants to plan for retirement and needs your advice. in the first 5 years of his retirement he plans to travel and will need 450,000 each yr to do so. after that he will be able to live on 100,000 per yr. mark does not know how long he wil..
Company that focus on assisting effective decision making : Youth commitment and youth voice: Young people have significant roles in the family, school, and the community, where their assistances make a difference. These aids can include service, asking with adults in the organization, and collective leade..
Types of loans requires periodic repayments : Which one of the following types of loans requires periodic repayments, each of which reduces the principal balance?
Regarding the benefits of a pro-active approach : 3) Provide some advice relating to this general topic of obesity that you might give yourself or others regarding the benefits of a pro-active approach to a healthy lifestyle.

Reviews

Write a Review

Financial Management Questions & Answers

  Square using wireless network to gain competitive advantage

Square is a device that transforms a smart phone into a credit debit card machine. How is a Square using wireless network to gain a competitive advantage? What can Square do to maintain its completive advantage and become more profitable?

  Calculate and interpret the two revenue variances

Consider the following 2012 data for Newark General Hospital (in millions of dollars): Calculate and interpret the two profit variances. Calculate and interpret the two revenue variances. Calculate and interpret the two cost variances.

  Outstanding amount on an adjustable rate

Assume you have a $150,000 outstanding amount on an adjustable rate loan from BCN bank, which amortizes over 10 years. Your monthly payment is based on 1% over the current 10 year treasury rate or roughly 2.98% APR. Your monthly income allows you to ..

  What is the payback period of the project

Your required rate of return is 8%. If you invest $15,000 today in a project, you will receive the following cash flows: What is the NPV of the project? What is the payback period of the project?

  Value bond outstanding with coupon rate

Yan Yan Corp. has a $2,000 par value bond outstanding with a coupon rate of 4.9 percent paid semiannually and 23 years to maturity. The yield to maturity on this bond is 4.3 percent. What is the price of the bond?

  What is the required rate of return on the new portfolio

You manage a $20M mutual fund that has a beta of 1.40 and a 10.30% required return. The risk-free rate is 3.30%. You now receive an additional $5M, which you invest in stocks with an average beta of 0.80. What is the required rate of return on the ne..

  What is the value of a bond

What is the value of a bond that has a par value of $1,000, a coupon of $80 (annually), and matures in 11 years? Assume a required rate of return of 11%, and round your answer to the nearest $10.

  What is moda textile factory''s competitive advantage?

What is Moda Textile Factory's competitive advantage?

  Compute the payback for each project

Compute the payback for each project. Compare the payback for Project A with the payback of Project B. Compare the payback for Project B with the payback of Project C. Compare the payback for Project A with the payback of Project C.

  What are the year one and year two net cash flows

The marginal tax rate for Locus is 40 percent. What is the required net investment, and what are the year 1 and year 2 net cash flows?

  Estimated market value of the promised payment at maturity

A “century” bond has a 6 percent coupon rate and makes semiannual payments ($30 every six months). The yield to maturity is 4 percent and the maturity date is December 11, 2115. You should assume that today is December 11, 2015. What is the estimated..

  The new number of options in one contract

An investor buys 5 call option contracts, each on 100 shares with a strike of 60. There is an 8-for-5 stock split. What is the new strike price? The new number of options in one contract?

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