User Account

All Pages

How much is the net investment

Assignment Help Managerial Accounting
Reference no: EM132816326

Question - REPLACEMENT OF FIXED ASSETA machine is being replaced with a new one and the following information is given:

Cost of new machine 90,000

Increase in working capital requirement 10,000

Net proceeds from sale of old machine, including tax benefit on loss 25,000

Cost of immediate repairs on old machine, net of tax effect 6,000

Incremental annual cash returns (for 8 years) arising from replacement 23,000

Required -

1. How much is the net investment?

2. In how many years can it be recovered?

3. With a cost of money equal to 15%, how much should be the net present value from the replacement?

Reference no: EM132816326

Questions Cloud

What is the amount of cash collected from the customers : What is the amount of cash collected from the customers during the year ended June 30, 2022. Bad debts are written off against the allowance for doubtful debts.
What you know about human needs to build a bridge : You are a counselor in a rural area. Your supervisor asks you to visit the home of a child who has become violent. The mother states that the father.
Calculate the amount you will be required to pay monthly : Calculate the amount you will be required to pay monthly. If payment of the loan was required at the beginning of each month, what would the monthly instalment
Describe methodology how you collected your data : Your final research paper should help management determine whether to adopt the new technology that you have chosen to research. Treat the organization/company
How much is the net investment : Incremental annual cash returns (for 8 years) arising from replacement 23,000. How much is the net investment? In how many years can it be recovered
What amount of cash was paid for merchandise : The information is available for Eclectic Lighting. What amount of cash was paid for merchandise in? 2018? Merchandise? inventory, 12/31/17
Describe your professional development plan : Conclude the portfolio with a brief personal call to action. In 250-500 words, describe your professional development plan after you graduate.
Calculate the net present value for this proposed project : Suppose that the appropriate discount rate for this project is 6.6%, compounded annually. Calculate the net present value for this proposed project
What cash payment for merchandise to be reported : There were no changes in the amount in account payable for the year. Cash payment for merchandise to be reported under the direct method? is

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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