What is the after-tax salvage value

Assignment Help Finance Basics
Reference no: EM131166012

A 5-year project requires the initial purchase of a $100,000 machine. This machine has an 8-year life and will be depreciated straight-line to zero. At the end of the project, the equipment can be sold for $20,000. The tax rate is 30 percent. What is the after-tax salvage value?

Reference no: EM131166012

Questions Cloud

What is the yield to maturity : A 7.5 percent coupon bond has a face value 1000, pays interest semi-annually, has 4 years to maturity, and is currently selling for 1120. What is the yield to maturity?
What are the primary types of nonfunctional requirements : What are the primary types of nonfunctional requirements? Give two examples of each. What role do nonfunctional requirements play in the project overall?
Provide marketing promotion objectives and strategies : Briefly write about the company, products, visions and mission, and current marketing objectives - provide marketing promotion objectives and strategies.
How many gallons of milk will be produced and sold : Suppose that Maria and Miguel work together in order to operate as a profit-maximizing monopolist. How many gallons of milk will be produced and sold
What is the after-tax salvage value : A 5-year project requires the initial purchase of a $100,000 machine. This machine has an 8-year life and will be depreciated straight-line to zero. At the end of the project, the equipment can be sold for $20,000. The tax rate is 30 percent. What..
What is the definition of conditional probability : When we roll two ordinary dice, what is the probability that the sum of the tops comes out even, given that the sum is greater than or equal to 10? Use the definition of conditional probability in solving the problem.
What is the firm return on equity : A company has a total asset turnover ratio of .6, a profit margin of 6.2%, and a debt-equity ratio of .4. What is the firm's return on equity?
What is the value of producing a requirements definition : What is the value of producing a requirements definition and having the project sponsor and key users review and approve it?
What is the npv : A project has an initial cost of $850,000 and lasts 5 years. Net cash flows in year 1-5 are $150,000, $250,000, $250,000, $100,000 and $400,000. What is the NPV if the required return is 8 percent?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd