User Account

All Pages

Should Jimmy accept the offer

Assignment Help Financial Accounting
Reference no: EM132824956

Question - Jimmy owns a piece of land worth $490000. Bill wants to buy the land from Jimmy by offering him a 20% deposit on the land and 2 equal payments of $235000 at the end of every 2 years for the next 4 years. If money is worth j1=5%for the 1st 2 years and j4=5.75%  afterwards, should Jimmy accept the offer? Based on your decision how much money would Jimmy make (or save) at the time of the last payment by his decision?

Reference no: EM132824956

Questions Cloud

Prepare a list of customers and the balances of the account : Prepare a list of customers and the balances of their accounts from the subsidiary ledger. Prove that the total of the subsidiary ledger balances is equal
Maintaining a legally compliant workplace : How does knowledge of employment law and labor law help in creating and maintaining a legally compliant workplace?
Customer service manager for restaurant : Imagine that you are the customer service manager for a restaurant. Recently, several of your customers became ill, some seriously,
How the role of human resources today : Analyze and discuss how the role of human resources today can provide value as a strategic partner in an organization.
Should Jimmy accept the offer : If money is worth j1=5%for the 1st 2 years and j4=5.75% afterwards, should Jimmy accept the offer? Based on your decision how much money would Jimmy make
How your apn role will incorporate leadership competencies : Select 2 competencies from your area that address leadership and explain how your APN role will incorporate the 2 leadership competencies.
What amount should pat deduct as a casualty loss : Pat, a single taxpayer, What amount should Pat deduct as a casualty loss for the current year after all threshold limitations are applied?
What is the maximum amount of charitable contribution : What is the maximum amount of charitable contribution that may be deducted as an itemized deduction for the donated refrigerator for Year 5?
What are the advantages of performance appraisals : What are the advantages of performance appraisals? How do they contribute to effective training and development? Provide Evidence

Reviews

Write a Review

Financial Accounting Questions & Answers

  Which of the? true for nakuru inc

Nakuru Inc. sells its building with an original cost of? $500,000 for? $450,000 and makes a loss of? $50,000 on the sale. Which of the? true

  What was the noncontrolling interest in kent net income

At the end of the year, 20% of the goods were still in X-Beams' inventory. Kent's reported net income was $300,000. What was the noncontrolling interest in Kent's net income?

  Prepare monthly cash budget and supporting schedules for may

Prepare a monthly cash budget and supporting schedules for April, May, and June 2008. On the basis of the cash budget prepared in part (1), what recommendation should be made to the controller?

  Determine the dollar amount of your profit or loss

Determine the dollar amount of your profit or loss from buying a futures contract specifying C$100,000. Use a minus sign to enter a loss, if any

  Calcuate the gross profit ratio for the last two years shown

The following information is from the financial statements of Abby's International Pasta Corporation.

  How to prepare an income statement and statement of owner

How to Prepare an income statement, a statement of owner's equity, and a balance sheet for the month ended December 31, 2008.

  Calculate amount of desired profit per unit of new toaster

Calculate the amount of desired profit per unit of the new toaster. Calculate the target cost per unit of the new toaster.

  How develop a five-year cash flow estimate for the proposal

The mixer will be depreciated to a zero salvage value over three years using the straight-line method. Develop a five-year cash flow estimate for the proposal

  How much net income did nature earn

Earnings account was $10,000 and Nature's declared $7,500 dividends during year 2019, how much net Income did Nature's earn during year 2019?

  What effects does a bonus issue of shares made

What effects does a bonus issue of shares made in the middle of a financial year have on the EPS (earnings per share) calculations of a company?

  Calculate the cash flows for the new crystal

Calculate the cash flows for the new crystal jewelry project given the same assumptions in part 2 but considering a 3 year option

  Construct a depreciation schedule for the machine

Construct a depreciation schedule for the machine for each of the accounting years the machine will be in use, i.e. years 2020, 2021, 2022, 2023, and 2024.

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