Incorporated is considering an investment in new equipment

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1) Highmark, Incorporated is considering an investment in new equipment that costs $5,030,000. It will be used for 4 years and qualifies as five-year MACRS property. What will the book value of this equipment be at the end of four years?

2) Salesforce.com is considering an investment in new equipment that costs $11,430,000. It will be used for 7 years and qualifies as seven-year MACRS property. What will the book value of this equipment be at the end of seven years?

3) Wills and Loman, Incorporated is considering an investment in new equipment that costs $7,440,000. It will be used for 3 years and qualifies as seven-year MACRS property. What will the book value of this equipment be at the end of three years?

4) Highmark, Incorporated is considering an investment in new equipment that costs $23,920,000. It will be used for 3 years and qualifies as five-year MACRS property. What will the book value of this equipment be at the end of three years?

5) James River Corporation is considering an investment in new equipment that costs $21,990,000. It will be used for 5 years and qualifies as three-year MACRS property. What will the book value of this equipment be at the end of five years?

Reference no: EM131185444

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