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Compute the best option of lease or buy on the facts given.
Your law office needs a new copying machine, and you are considering two alternatives:
A. Buying a new copying machine: in this case, you will pay today $7,000. The annual expenses (maintenance and insurance) will be $700 and in addition you estimate that the cost per copy will be $0.3. The copying machine life span is 5 years and with straight line depreciation and no terminal value.
B. Lease a copying machine: in this case, you will pay a fix amount of $2,200 a year plus $0.4 per copy.
The law office tax rate is 35% and its discount rate is 8%.
Based on your review of the financial data for every company, show the accuracy and reliability of the data for making investment decision.
Particular technique of accounting for product and describe why you consider it to be better than the alternatives.
Calculation of total variable cost and contribution income statement - Assume the same unit costs in all years. Total variable costs on the company's 2007 contribution income statement will be?
Whole a production cost report for the Motor Department of Sun Appliance for March. Leave no cells blank - be certain to enter "0" wherever needed.
What could be the income before income taxes derived by Haden from the lease and show journal entries would be recorded by Sandy Company for all of 2004
What is Kelly's deductible theft loss in the existing year if the theft is not discovered, until January of the subsequent year?
Depreciation calculation under straight line and declining-balance methods - The machine is expected to last for 8 yrs, and its estimated salvage value at the end of its life is 24,000.
Insurance Settlement Proceeds The Company reached a payment with its insurance carrier related to the damage from the hurricane and received proceeds of $15 million from its insurance carrier in connection with its claim for reimbursement
What is the suitable amount that Bluey Ltd should identify for the leased aircraft on its statement of financial position as on 1st July 2010. State the reasons for your conclusion.
What is the outcome on the financial statements when a company fails to accrue salaries expense at year-end?
Evaluate the total gross estate and determine the total gross estate deductions?
4) Comment on the degree to which the statement of revenues, expenditures and other changes in fund balance captures the district's cost of services. How can you validate such a financial statement
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