Determine net initial investment

Assignment Help Macroeconomics
Reference no: EM1368682

A corporation bought a machine for $100,000 four years ago. It was being depreciated on a straight-line basis over five years. The company decides to replace this machine today with a more productive machine that costs $125,000. The old machine can be sold today for $25,000. The income tax rate is 40%. The net initial investment in the new machine is

$125,000
$100,000
$105,000
$102,000

 

Reference no: EM1368682

Questions Cloud

Show the negotiation tools : What negotiation tools can you find from the post of this learner. How might you prepare differently for a negotiation with them ?
Determine optimal scams need for external funds : The Optimal Scam Corporation would like to see its sales grow at 20% for the foreseeable future. Its financial statements for the current year are presented below.
Write algorithm to decide which commute is cheaper : Write working algorithm in pseudo code to decide which commute is cheaper: You wish to decide whether you must drive your car to work or take train. You know one-way distance
Calculating the dividend yield : Springsten Music Corporation earned $820 million last year and paid out 20% of earnings in dividends. By how much did the company's retained earnings increase?
Determine net initial investment : A corporation bought a machine for $100,000 four years ago. It was being depreciated on a straight line basis over five years. The company decides to replace this machine today.
Needs and expectations of customers : Bargain furniture store management - Which evaluation tools would you utilize to ascertain the needs and expectations of your customers?
Write algorithm in pseudo code for bank account : Write an algorithm in pseudo code to settle following question: A bank account starts out with $10,000. Interest is compounded monthly at 6% per year(0.5% per month).
Gender and negotiation : What negotiation tools can you find from the post of this learner and how might you prepare differently for a negotiation with them
Explain - ordered a chicken sandwich from a restaurant : Explain - ordered a chicken sandwich from a restaurant and While eating, he was injured by a chicken bone that lodged in his throat.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Discuss the changing economic variables in china

Discuss the changing economic variables in China that influenced McDonald's expansion strategies.

  Elucidate how the price level will be affected

Elucidate how the price level will be affected by these expenditures in the short-run. Explain how GDP is affected in the long-run.

  Calculation of national income from the given data

Compute the equilibrium interest rate. Compute the amount of investment demand, private saving, and national saving at the equilibrium interest rate.

  Most of critics argue that america has too many elections

Most of the critics argue that America has too many elections, a surplus of elected officials, and unwieldy layers of government.

  Suppose that charles home improvement when disposal cost

Now suppose that Charles Home improvement, when the disposal cost of old water heaters is included, has exactly the same average and marginal cost curves for installing replacement water heaters as does ABC water heater.

  Maximization of economic profit for high mark

High Mark Industries sells solar water heaters to households interested in lower energy bills and sustainable energy.

  Monopoly pricing and elasticity

Explain why a monopolist will never set a price (and produce the corresponding output) at which the demand is price-inelastic.

  Consider the marketplace for personal computers

Consider the marketplace for personal computers. Suppose that the demand is stable: the demand curve doesn't change.

  Illustrate what happens to the money supply

Illustrate what happens to the money supply, interest rates, and the economy in general if the Federal Reserve is a NET BUYER of government bonds.

  Child of a wealthy family is deciding work mooch off

A child of a wealthy family is deciding either to work or not work also mooch off her parents. Asume that she is offered a job which pays.

  Inflation and output ratio

Suppose that natural real GDP is constant.  For every 1 percent increase in the rate of inflation above its expected level, firms are willing to increase real GDP by 2 percent.

  Decision making on profit maximization by marginal analysis

Suppose the marginal expense of hiring another worker is $150 and the marginal expense of hiring current workers for an extra hour is $10.

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