Compute the machines accounting rate of return

Assignment Help Financial Accounting

Reference no: EM13216090

A machine costs $700,000 and is expected to yield an after-tax net income of $30,000 each year. Management predicts this machine has a 11-year service life and a $140,000 salvage value, and it uses straight-line depreciation. Compute this machine's accounting rate of return.

Reference no: EM13216090

Questions Cloud

Calculate the total incremental cost of buying some units : Santos Company currently manufactures one of its crucial parts at a cost of $3.20 per unit. This cost is based on a normal production rate of 70,000 units per year. Variable costs are $1.70 per unit, fixed costs related to making this part are $70..

State the evolution of information technology and the impact : Research, identify and discuss the evolution of Information Technology and the impact it has had on businesses.

Compute the overhead application rate for total overhead : Earth Company expects to operate at 70% of its productive capacity of 48,000 units per month. At this planned level, the company expects to use 24,000 standard hours of direct labor. Overhead is allocated to products using a predetermined standard..

Explain goal format changed the way you look at the goals : Write summary of how re-writing your goals in S.M.A.R.T. goal format changed the way you look at the goals. Your summary should have between 250-500 words.

Compute the machines accounting rate of return : A machine costs $700,000 and is expected to yield an after-tax net income of $30,000 each year. Management predicts this machine has a 11-year service life and a $140,000 salvage value, and it uses straight-line depreciation.

Explain ethical choices and decision making impact business : Ethics is a hot button topic. Ethical choices and decision making impact business, politics to personal matters. From your own experience, give an example of one (1) ethical dilemma you encountered recently.

Explain international business negotiations : Describe the kinds of challenges that are likely to occur during international business negotiations. If you were setting up an international negotiation team for your company

How a machine will generate an after-tax income per year : A new operating system for an existing machine is expected to cost $260,000 and have a useful life of four years. The system yields an incremental after-tax income of $75,000 each year after deducting its straight-line depreciation.

Explain effective methods of conflict resolution : Analyze various approaches for engaging an audience during a presentation and encouraging active listening. Describe effective methods of conflict resolution.

User Account

All Pages