Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
One year ago, Caffe Vita Coffee Roasting Co. purchased three small- batch coffee roasters for $3.3 million. Now in 2010, the company finds that new roasters are available that offer significant advantages. The new roasters can be purchased for $4.5 million, and have no sal- vage value. Both the new and the old roasters are expected to last until 2020. Management anticipates that the new roasters will produce a gross margin of $1.2 million a year, so that, using straight-line depre- ciation, the annual taxable income will be $750,000.
The current roasters are expected to produce a gross profit of $600,000 a year and, assuming a total economic life of 11 years and straight-line depreciation, a profit before tax of $300,000. The current market value of the old roasters is $1.5 million. The company's tax rate is 45 percent, and its minimum acceptable rate of return is 10 percent. Ignoring possible taxes on the sale of used equipment and assuming zero salvage values at the end of the roasters' economic lives, should Caffe Vita replace its year-old roasters?
What are some of the best methods when motivating assignees and why are those methods successful? How does a company have selected motivation method factor into their overall leadership theory?
The maturity risk premium is 0.65 percent on 5-year securities and increases by 0.05 percent for each additional year to maturity. Calculate the liquidity risk premium on Tom and Sue's Flowers, lnc.'s, 15-year bonds.
Which project would the company select using the net present value method in project 1? Explain your answer.
The new machine will replace an older version that is fully depreciated and will be sold for $200,000. The firm's income tax rate is 35%. What is the initial outlay for capital budgeting purposes.
A few days ago, Mr. A has purchased a lottery. Fortunately, he has received a letter from the lottery officials that he has won that lottery. Additionally, it has been mentioned in the letter that he has to choose between one of the two given alte..
The production process consists of three primary activities: bending and forming, welding, and painting. The amount of time in minutes needed to process each product in each department is shown below:
One month the employee received a check for $2035. What was the amount of sales for that month? Please show calculations.
Find the annual payment of the loan of $20,000 with 7% of interest rate per year if the loan is paid off over the next 5 years. Then, find the principal repaid in the first year, and the balance of this loan at the end of the first year. Include f..
ms.lauren weeks purchased 100 acres of land in 1990 for 100000.if she sells the land for 5000 per acre in 2010what
Explain the objectives involved in the management of a bank's overall liquidity position and the costs to the bank of poor liquidity management.
How much will mortgage bondholders receive? How much will priority creditors receive? Identify the remaining general creditors. How much will each receive before subordination adjustment and after adjustment?
How much would such approach cost or benefit government in form of increased government tax revenues or increased government costs?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd