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!
Home Inc. is considering buying a new piece of equipment, which will cost $715,000 and has an economic life of 5 years, in order to make a new line of product. The company believes they can sell 25,000 units of this latest product per year at $130 per unit in every of next 5 years. The unit variable cost is $110 and total fixed costs (excluding CCA) are $195,000 per year.The CCA rate for the latest equipment is 30% and Home Inc. is going to claim the maximum CCA in every of the next 5 years.Home Inc. requires to invest $140,000 in net working capital up front which will be fully recovered at the end of 5 years.The equipment is estimated to be sold at its UCC value at the finish of 5 years.The discount rate is 15% and the tax rate is 35%.Requirements: Show your calculation
a. Determine the CCA allowance and ending UCC in each of the 5 years.
b. Determine the net income and operating cash flow of this new product for every of the 5 years.
c. Determine the initial investment outlay.
Difference between Income Statement and Balance Sheet Difference between the amounts of the columns in Income Statement and Balance Sheet should be the same amount. Words "Net
Explain the term - Overtime Pay This means a minimum of one and one-half times the regular rate of pay for all hours worked over 40 during the week. (Time and a half) A numbe
Explain any two concepts of accounting with examples
HOW TO DO DOUBLE ENTRY QUESTIONS
Q. What is Posting reference column? This column demonstrates the account number of the debited or credited account. For example in Exhibit 8 the number 100 in the first entry
Wendell Corporation exchanged an old truck and $25,500 cash for a new truck. The old truck had a book value of $6,000 (original cost of $25,000 less $19,000 in accumulated depre
Q. Explain about debits and credits? Accountants utilize the term debit instead of saying place an entry on the left side of the T-account. They utilize the term credit for Pla
How can price inflation effect a university negatively in the future? Like, what are a few things in the university that will be impacted?
Q. Detailed steps for completing the work sheet ? Accountants use these preliminary steps in preparing the work sheet. The following segments describe the detailed steps for com
Q. What is Income Summary account? The Income Summary account is a clearing account used merely at the end of an accounting period to summarize revenues and expenses for the pe
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