Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Assume that Wal-Mart Stores, Inc. has decided to surface and maintain for 10 years a vacant lot next to one of its stores to serve as a parking lot for customers. Management is considering the following bids involving two different qualities of surfacing for a parking area of 12,200 square yards.
Bid A: A surface that costs $5 per square yard to install. This surface will have to be replaced at the end of 5 years. The annual maintenance cost on this surface is estimated at 25 cents per square yard for each year except the last year of its service. The replacement surface will be similar to the initial surface. Bid B: A surface that costs $10 per square yard to install. This surface has a probable useful life of 10 years and will require annual maintenance in each year except the last year, at an estimated cost of 8 cents per square yard. (Use the tables below - the table is the present value of OA of 1 and present value of 1).
Compute present value of the bids. You may assume that the cost of capital is 8%, that the annual maintenance expenditures are incurred at the end of each year, and that prices are not expected to change during the next 10 years. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.)
Present value of outflows for Bid A
$????
Present value of outflows for Bid B
$???
Which bid should be accepted by Wal-Mart.
Wal-Mart should accept ???
Assume that circuit city stores completed the following foreign-currency transactions: On March 18, immediately after the purchase, and on April 20, immediately after the sale, which currencies did Circuit City want to strengthen? Which currencies di..
Zane has received a prize which entitles him to receive annual payments of $10,000 for the next 10 years. Which of the following is to be referred to in order to calculate the total value of the prize today?
What amount of net income would Swanson Company report on its 2013 income statement and identify which accounts would be classified as permanent and which accounts would be classified as temporary.
Statement includes a credit memo, representing the collection of the proceeds of a note left at the bank.
On June 30, 2012 Ghosh Company concludes that a customer's $4750 receivable (created in 2011) is uncollectible and that the account should be written off. Illustrate what effect will this action have on Ghosh's 2012 net income? Explain.
on january 1 2010 sycamore co. issued 7 5 year bonds with a face amount of 5 million dollars. the market yield for
Calistoga Produce estimates bad debt expense at 0.30% of credit sales. The company reported accounts receivable and allowance for uncollectible accounts of $474,000 and $1,640, respectively, at December 31, 2012.
The Stridewell Company, a manufacturer of shoes, sold all of its retail outlets. It will continue to manufacture and sell its shoes to other retailers. A loss was incurred in the disposition of the retail stores. The retail stores are considered c..
Calculate Cash Flow from operating activities. Calculate Cash Flow from Investing activities. Calculate Cash Flow from financing activities.
Read Publishing is considering the purchase of a used printing press costing $84,200. The printing press would generate a net cash inflow of $37,422 a year for 3 years. At the end of 3 years, the press would have no salvage value. The company's cost ..
Calculation of Estimated Allowance for doubtful accounts with a change in Sales - What would you answers be for parts 1 and 2 if sales for the current period were $220,000
Thelma's Amusements completed the following transactions during November 2012 Nov 1 Purchased supplies for cash, $700.
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd