What will be the after-tax cash flow of this sale

Assignment Help Financial Accounting
Reference no: EM13793272

Suppose you sell a fixed asset for $77,000 when it's book value is $84,000. If your company's marginal tax rate is 33%, what will be the effect on cash flows of this sale (i.e., what will be the after-tax cash flow of this sale)?

$84,000

$51,590

$7,000

$79,310

Reference no: EM13793272

Questions Cloud

Transaction exposure and economic exposure : What are the different issues involved with translation exposure, transaction exposure and economic exposure? How can companies plan to mitigate the risk of each? What are the opportunity costs associated with measures to mitigate this risk?
Attributes of value management as management style : The text describes the key attributes of Value Management as management style, positive human dynamics, and consideration of external and internal environment. Provide an example of each of these attributes of VM for a successful project you have ..
Capital structure between debt and equity issuances : Why is it important that we differentiate the sources of a company’s capital structure between debt and equity issuances like common stock? How does the use of ratios and percentages help us to significantly enhance our understanding of financial sta..
Complete given table to identify reading strategies : Complete given table to identify reading strategies appropriate for each ELL proficiency label. Include a justification as to why each strategy is applicable to the specific ELL proficiency label, citing references.
What will be the after-tax cash flow of this sale : Suppose you sell a fixed asset for $77,000 when it's book value is $84,000. If your company's marginal tax rate is 33%, what will be the effect on cash flows of this sale (i.e., what will be the after-tax cash flow of this sale)?
Compute the combined tax liability of the two corporations : Avis's taxable income for the year is $300,000 and Best's taxable income for the year is $425,000. For each of the scenarios provided, (a) state if a control group has been created and, if so, define the controlled and (b) compute the combined tax li..
Crisis leadership or risk management report : Organizations are susceptible to an array of crises. There are different types of threats with no "one way" to manage them. This reality presents multiple business challenges to those in leadership positions.
Current ratio-inventory turnover ratio-profit margin ratio : You are comparing two companies in the same industry. You have determined that Ace Corp. depreciates its plant assets over a 40-year life, whereas Liu Corp. depreciates its plant assets over a 20-year life. Discuss the implications this has for compa..
Write a template about the impact of antitrust on business : Write a template about The Impact of Antitrust on Business designed to organize essential information in a logical and orderly array of categories, which can be amplified to any realistic degree.

Reviews

Write a Review

 

Financial Accounting Questions & Answers

  How many units must harris sell to break even

Harris Company's sales revenue for 2005 was $300,000. Harris has one product that sells for $25 and has variable costs of $18. Fixed costs total $155,000. How many units must Harris sell to break even?

  Impact of change in credit policy on the debt ratiocollins

impact of change in credit policy on the debt ratio.collins company had the following partial balance sheet and

  Which of the following is not an operating budget

Which of the following is not an operating budget?

  Using the given information calculate the pricing

using the given information calculate the pricing decision.relevant costs special sales order-idle versus full capacity

  Is an increase in your bank statement a debit or a credit

Is an increase in your bank statement a debit or a credit? What method would you use to summarize transactions and transfer to the ledger?

  Important part of accounting and all business transactions

Ethics are an important part of accounting and all business transactions. Conduct research to identify a company's code of ethics. First Post: Share a link to the company's code of ethics, or if it is your own company, please attach a copy of it, as ..

  Identify the core functions of each department

Identify the core functions of each department, their strengths and weaknesses, and make recommendations for improvement, as appropriate

  Determine the equal annual net cash flows from operating

Determine the equal annual net cash flows from operating the equipment. Round to the nearest dollar.

  Unqualified absolutism is choosing the lesser of two evils

Not believing in absolutes in an absolute. One's personal ethics may be separated from one's business ethics. Conflicting absolutism states that moral conflicts do not exist because God cannot contradict himself. Unqualified absolutism is choosing th..

  Increase corporate internal control requirements

Discuss the potential advantages and disadvantages that countries outside the United States should consider before adopting regulations such as those in the Sarbanes-Oxley Act, that increase corporate internal control requirements.

  Question 1 on january 3 2011 open inc acquired land from

question 1. on january 3 2011 open inc. acquired land from closed company in a noncash transaction. open inc. gave

  Why to use the allowance method for bad debt

Sold six 1000 watt microwaves and four 1200 watt microwaves on account to Briana Co., invoice 891, terms 2/10, n/30, FOB shipping point.

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