What is the bv of the asset at the end of the first year

Assignment Help Econometrics
Reference no: EM13214035

The "Big-Deal" Company has purchased new furniture for their offices at a retail price of $100,000. An additional $20,000 has been charged for insurance, shipping, and handling. The company expects to use the furniture for 10 years (useful life = 10 years) and then sell it at a salvage (market) value of $10,000. Use the SL method for depreciation to answer these questions.
a. What is the depreciation during the second year?
b. What is the BV of the asset at the end of the first year?
c. What is the BV of the asset after 10 years?

Reference no: EM13214035

Questions Cloud

Federal attention to elementary school education : What event brought federal attention to elementary school education?
What amounts on the balance sheet are in millions of dollars : (Amounts on the balance sheet are in millions of dollars.) Assets - Reserves $15.90 Loans $150.00 Securities $34.10 Total - $200.00 Liabilities + Capital - Transactions deposits $180.00 Equity capital $20.00 Total - $200.0 Calculate the bank's exc..
Operations integrated into the overall business operations : How are the Walt Disney Corporation’s security operations integrated into the overall business operations? How are non-security personnel and environmental features used for security purposes and how do security personnel contribute to the overall mi..
Explain the role the government plays in personal finance : Economics plays a role in personal finance. Describe the role that economics plays in your personal financial plan - Explain the role the government plays in personal finance
What is the bv of the asset at the end of the first year : The "Big-Deal" Company has purchased new furniture for their offices at a retail price of $100,000. An additional $20,000 has been charged for insurance, shipping, and handling. The company expects to use the furniture for 10 years (useful life = ..
Law of noncontradiction-personal daily struggle : Essay exploring a personal daily struggle that is an example of the law of noncontradiction and the challenges posed to your beliefs and decisions. Use a minimum of two readings from this course to enhance your discussion.
State the enthalpy change when 1 mole of ammonia gas : What is the enthalpy change when 1 mole of ammonia gas is decomposed into its elements?
Explain monoprotic acid dihydrogen pthalate : monoprotic acid. Dihydrogen pthalate (H2C8H4O4) is a diprotic acid. An analyte sample contains 0.127 M KHP and 0.0678 M (H2C8H4O4). What volume of a 0.205 M NaOH solution is required to neutralize 25.0 mL of the analyte solution.
What is the devices vb at the end of four years : Suppose that after depreciating the device for two years with SL method, the firm decides to switch to the double declining balance depreciation method for the remainder of the device's life (the remaining three years). What is the device's VB at ..

Reviews

Write a Review

Econometrics Questions & Answers

  How much deadweight loss will your firm create

Now what will your price be? How much deadweight loss will your firm create?(d)  After the election, you decide your firm is not making enough money. So you hire the lobbying firm C&E. C&E are able to convince regulators that you should set ..

  What is dealers annual rate of return on loan transactions

Assume that you are going to buy a car work $25,000. You will be able to make a down payment of $3,000. The remaining 22,000 will be financed by the dealer. The dealer computes your monthly payment to be $547.47 for 28 months of financing.

  Find total q for all of the fringe firms

THis is question about a dominant firm competitive fringe model P=5000-Q

  Calculate the net private benefits of the project

Calculate the net private benefits of the project to the foreign-owned company, as a net present value and calculate the net social benefits of the project from the viewpoint of the Australian economy, with the same criterion.

  What is the npv of the investment

Net present value: Kingston, Inc., is looking to add a new machine at a cost of $4,133,250. The company expects this equipment will lead to cash flows of $814,322, $863,275, $937,250, $1,017,112, $1,212,960, and $1,225,000 over the next six years.

  What is the equilibrium price and quantity in this market

Construct a graph showing supply and demand in the electronic dog feeder market, using Microsoft Excel. How are the laws of supply and demand illustrated in this graph Explain your answers. What is the equilibrium price and quantity in this market As..

  Determine size of economys recessionary expenditure gap

The St. Louis Federal Reserve bank at www.research.stlouisfed.org/fred2 provides data on both real GDP (chained 2000 dollars) and real potential GDP for the United States. To get the data, first click on Gross Domestic Product (GDP) and Components..

  What fraction of the production will be unacceptable

A machine operation produces bearings whose diameters are normally distributed, with a mean of .498and a standard deviation of .002. If specifications require that the bearing diameter be .500 inch +- .004 inch, what fraction of the production wil..

  Calculate measurement error using mse and mad

Calculate a 5-year weighted moving average to forecast the number of mergers for 2012. Use weights of 0.10, 0.15, 0.20, 0.25, and 0.30, with the most recent year weighted being the largest. Use regression analysis to forecast the number of mergers..

  What is profit maximizing quantity and price for media cable

Each of these customers are willing to purchase cable service, but only if the price is just equal to, or lower than, his or her willingness to pay. Morgan's willingness to pay is $180; Larry's, $100; Clyda's, $70; Janet's, $40; and Tom's, $0.

  Determine will unions be more likely to raise the wage

Workers in Wet Seal and Forever 21 stores are considering forming unions in each store. The potential unions have information on labor demand. For Wet Seal, when the wage rises from $8 to $10, Wet Seal will reduce labor demand from 800 to 700.

  Find the maximum likelihood estimator

Suppose that \(X_{1},X_{2},....,X_{n} \) is an i.i.d. random sample, where \(X_{i}\) follows a normal distribution, with mean zero and unknown variance \(\sigma^{2}\) . Find the Maximum Likelihood Estimator of \(\sigm..

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