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Pack in Taxi Service uses the units-of-activity method in computing depreciation on its taxicabs. Each cab is expected to be driven 150,000 miles. Taxi 10 cost $23,816 and is expected to have a salvage value of $512. Taxi 10 was driven 27,480 miles in 2009 and 19,814 miles in 2010. Compute the depreciation for each year.
The new machine will cut operating costs by $10,000 each year for the next five years. Taylor's cost of capital is 8 percent. Should the firm replace the asset? (Use NPV methodology to solve this problem)
If you could pick a single source of cash for your business, what would it be? Why? How can a business earn large profits but have a small balance in Retained Earnings? How can a business lose money for many years and still have plenty cash?
Indicate how each of the following six different transactions that Dynamic Mattress might make would affect (i) cash and (ii) net working capital:
saver company produces only one product. monthly fixed expenses are 20000 monthly unit sales are 3500 and the unit
after discontinuing the ordinary business operatins and closing the accounts on may 7 the ledger of the partnership
kohl industries is considering a new project that would require an investment of 2975000 in equipment with a useful
On July 1 of the current year, the assets and liabilities of John Wong, DVM, are as follows: Cash, $15,000; Accounts Receivable, $12,300; Supplies, $3,100; Land, $35,000; Accounts Payable, $8,700. What is the amount of owner's equity (John Wong's ..
The statement provides information about resources consumed during an accounting period. The statement is dated as of a specific point in time. The amounts that are owed to other q\organizations or individuals are reported.
Beginning accounts receivable were $11,000 and ending accounts receivable were $14,000. All sales were on credit and totaled $559,000.
the town of liberty approved the construction of a special oven to cook the worlds largest apple pie to be financed by
I know that Eleanor will have a capital gain...but how does having the transaction qualify or not qualify for sale or exchange treatment affect Eleanor's capital gain?
the following information is taken from the accounting records of the gilda corporation. use this information to
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