User Account

All Pages

Calculate the terminal cash flow from the project

Assignment Help Financial Accounting
Reference no: EM132939839

Problem 1: CGS Company installed a new machine 5 years ago. At the time the machine was installed, the salvage value was estimated at $1,500. The machine has been fully depreciated using the straight-line method with a salvage value. CGS sold the machine at the end of the 5-year project for $4,000 cash. CGS is subject to a 25% tax rate. Calculate the terminal cash flow from the project.

Option 1: $3,375

Option 2: $1,500

Option 3: $3,000

Option 4: $2,500

Reference no: EM132939839

Questions Cloud

What is the value of a security with an expected growth rate : What is the value of a security with an expected growth rate of 0.03, if the stock just paid a dividend of $4.1 and according to the Capital Asset Pricing Model
How much in dividends did the firm pay to shareholders : How much in dividends did the firm pay to shareholders during the year? In its most recent financial statements, Del-Castillo Inc. reported $50 million.
How the accrual concept is applied in governments : How the accrual concept is applied in governments on one of the following expenses: compensated absences, pension and OPEB, claims and judgments
What is the estimated probability of patrick flipping a head : What is the estimated probability of Patrick flipping a head with his lucky coin? Patrick flipped his lucky coin 14 times and got 8 heads. Patrick used numbers.
Calculate the terminal cash flow from the project : CGS sold the machine at the end of the 5-year project for $4,000 cash. CGS is subject to a 25% tax rate. Calculate the terminal cash flow from the project.
Which is a feature of net present value : Which is a feature of net present value? Net present value assumes reinvestment of cash flows at the actual rate of return of the project.
What will be the required return of ABC : ABC Corp's beta is 1.4, risk-free rate is 3%, and the market return is 9%. If the risk-free rate increases to 5%, what will be the required return of ABC
What would be the journal entry to record depletion : In the first year, 50,000 tons of ore are extracted and sold. What would be the journal entry to record depletion for the first year.
What is the redistribution of cost allocated : If the sale value of the byproduct is applied as cost to the byproduct, what is the redistribution of Cost allocated to P1 & P2 using NRV

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd