Determine the atcf for each year after tax pw and aw

Reference no: EM13221620

Agrigrow is to purchase a tractor for over-the-road hauling for $90,000. It is expected to be of use to the company for 6 years, after which it has a salvage value for $4,000. Transportation cost savings are expected to be $63,000 per year, including fuel, maintenance, insurance, and the like. The company's marginal tax rate is 40 percent, and MARR is 10 percent on after-tax cash flows. Suppose that, to Agrigrow's surprise they dispose of the tractor at the end of the fourth year for $6,000. Develop tables to determine the ATCF for each year after tax PW, AW, and IRR after only 4 years.

Reference no: EM13221620

Questions Cloud

List the two types of social determinants : List the two types of social determinants and explain how these factors impact the health and wellness of society. What are some strategies you might propose to improve the health and wellness at a societal level for both social determinants?

Determine what is quality-adjusted life year : What is quality-adjusted life year How can it be used to compare differences in health status between someone who is healthy and someone who is not Ca it be used to compare health outcomes of someone who is ill with someone who has died

Explain what is the molecular weight of the compound : The freezing point of an aqueous solution containing 15 g of a nonelectrolyte in 150 mL water is -5.4°C. What is the molecular weight of the compound? Kf = 1.86°C/m for water.

Explain what is the vapor pressure of pentane : A solution consists of 0.450 mole of pentane, C5H12, and 0.250 mole of cyclopentane, C5H10. What is the vapor pressure of pentane in this solution at 25°C?

Determine the atcf for each year after tax pw and aw : Agrigrow is to purchase a tractor for over-the-road hauling for $90,000. It is expected to be of use to the company for 6 years, after which it has a salvage value for $4,000. Transportation cost savings are expected to be $63,000 per year, includ..

What is the overall efficiency of the assembly line : Assign tasks to work stations using the longest task time heuristics (longest operating time rule). 5. How much total idle time is present each day? 6. What is the overall efficiency of the assembly line?

Define what is the molecular weight of the unknown compound : When 1.150 grams of an unknown nonelectrolyte dissolves in 10.0 grams of water, the solution freezes at -2.16°C. What is the molecular weight of the unknown compound

What complexities would arise under scenario of expansion : if companies in the automotive industry are considering a merger with another automotive company, what complexities would arise under this scenario of expansion of capital projects

What is the multifactor productivity for the week : Total material costs for the 400 units are $5,000. Weekly overhead is charged at the rate of 1.5 times the labor costs. What is the multifactor productivity for the week?

User Account

All Pages