Should the machine be acquired

Assignment Help Financial Accounting
Reference no: EM132850841

Question - Fe Company is considering to buy a new machine which cost P50,000. It will be a labor saving investment which will reduce payroll by P13,500 per year. Its useful life is 8 years and it wilt have zero salvage value. A minimum desired rate of return of 48% is used for capital investment decisions. Information on present value factors is as follows:

Present value of P1 for 8 periods at 18% .266

Present value of an annuity of P1 for 8 periods 4.078

Should the machine be acquired?

Reference no: EM132850841

Questions Cloud

Identify clinical issue that be focus of quality improvement : Identify the clinical issue that will be the focus of your Quality Improvement project. Provide rationale for the need to change the status quo.
Identify the types of communication solutions : Identify the types of communication solutions that are used to cultivate collaborative communities and partnerships
Key role in the supply chain process : Transportation plays a key role in the supply chain process. Discuss some of the impacts that transportation has on the supply chain.
What should be nursing role in decision making : What is and/or should be nursing's role in decision making regarding selecting information systems? APA style with support from at least 2 academic sources.
Should the machine be acquired : Fe Company is considering to buy a new machine which cost P50,000. Should the machine be acquired
Web scrapping with r-coding : The objective of this homework is to collect a list of articles in Google news or Bing News, which include the keyword Covid-19.
Trafficking women and children across border : Trafficking women and children across the U.S. border from Mexico has been a lucrative business. These women and children are at the mercy of the traffickers.
Discuss how nurse educators can use adult learning theory : Discuss how nurse educators can use Adult Learning Theory principles to guide teaching practices and curriculum development.
What is the IRR for this project : Your firm is contemplating the purchase of a new $525,000 computer-based order entry system. What is the IRR for this project

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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