What is the annual total income

Assignment Help Accounting Basics
Reference no: EM13146968

Sorius Corp is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net cash flows of $100,000. The equipment will have an initial cost of $400,000 and have a 5 year life. If the salvage value of the equipment is estimated to be $75,000, what is the annual net income? Ignore income taxes.

a. $25,000

b. $35,000

c. $165,000

d. $175,000

Reference no: EM13146968

Questions Cloud

What effect does herbivory have on plant fitness : Discuss the effectiveness of the variety of defense employed by prey species against predators. Do the same for the variety of countermeasures used by predators to overcome prey defense. Relate answers your answers to specific examples.
How many milliliters of a stock solution of kno3 you need : How many milliliters of a stock solution of 2.00M KNO3 would you need to prepare 100.0 mL of 0.150M KNO3?
Explain how much would the beaker and its content weigh : How much would the beaker and its content weigh if it was completely filled with mercury? The density of mercury is d = 13.5 g/mL ? = g
A long-term written sales : A long-term written sales contract between Alder, Inc. and Zenith, Inc. provides for cash payments to be made by Zenith, Inc., the buyer, on the first of the month. Zenith has been using a wire transfer payment method, but Alder asserts that Z..
What is the annual total income : The equipment will have an initial cost of $400,000 and have a 5 year life. If the salvage value of the equipment is estimated to be $75,000, what is the annual net income? Ignore income taxes.
What was the temperature change : On a day with an air temperature of 75°F, you read the psychrometer and determine the relative humidity to be 74%. A sudden weather change (that does not affect the actual moisture content of the air) reduces the relative humidity to 70%. What was..
What is the new volume of gas in ml : A sample of gas occupies 721 mL at 1.00 atm. The pressure is increased to 1.1 atm (the temperature stays the same). What is the new volume of gas in mL?
Explain what would be the effects when changing : what would be the effects when changing the eluting solvents
How much heat is required to warm ice : How much heat is required to warm 215 g of ice from -44.1°C to 0.0°C, melt the ice, warm the water from 0.0°C to 100.0°C, boil the water, and heat the steam to 173.0°C?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Ending inventory levels

Financial Statements of ABC Corp. indicates that ending inventory levels in 2010 and 2011 were $200,000 and $350,000 respectively. Net Sales for 2010 and 2011 were $5,000,000 and $5,500,000 respectively. Cost of Goods sold for 2010 and 2011 were $..

  Investigating the feasibility and desirability

Gladys owns a retail hardware store in Tangipahoa. She is considering opening a business in Hammond, a community located 25 miles away. She incurs expenses of $60,000 in 2010 in investigating the feasibility and desirability of doing so. What amou..

  Question on performance measures

Using information from the latest financial statement, compute operating leverage, ROI, EVA and another performance measure for SIRI (SiriusXM)

  Adjust the inventory records by increasing inventory

Is it necessary to adjust the inventory records by increasing inventory and accounts payable? if not what adjustments should be made?

  Determine the interst earned by todd company

The bond pay interest on march 1 and septmber1. on october 1,2012,todd copany sold $24,000 of lincoln company bonds acquired on may 1. plus one month accured interest.on december 31,2012, four omnyhs interst was acuured for the remaining bonds. De..

  Accounting for pensions basics

In the United States, accounting for pensions has received a great deal of attention. In other countries, pension accounting is given much less attention. In one page, examine the reasons that would explain why pension accounting is given much les..

  What is enterprise risk management

Visit the Institute of internal auditors website and focus on the frequently asked questions section. Explain How internal and external auditors differ and how they relate. In addition, what is Enterprise Risk management(ERM) and what role in it d..

  Fiscal year and total liabilities

If owner's equity increased $20,000- during the fiscal year and total liabilities increased $12,000- during the same period, what happened to the assets?

  Direct method-amount of costs for department

The human resources department costs are allocated using the direct method and based on the number of employees, and the total amount of costs for the department is $187,000.

  Cost of merchandise sold section of the income statement

Prepare the cost of merchandise sold section of the income statement for the year ended March 31, 2010, using the periodic method. Also determine gross profit.

  What amount of compensation expense should staley recognize

In order to retain certain key executives, Staley Corporation granted them incentive stock options on December 31, 2012. 30,000 options were granted at an option price of $35 per share. Market prices of the stock were as follows.

  Determine the amount to be recognized as depreciation

Stevenson Corporation acquires a one-year old building at a cost of $500,000 at the beginning of Year 2. The building has an estimated useful life of 50 years.

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