What is the net cash flow from the salvage value

Assignment Help Finance Basics
Reference no: EM13282502

Ronnie's Custom Cars purchased some fixed assets two years ago for $100,000. The assets are classified as 5-year property for MACRS. Ronnie is considering selling these assets now so he can buy some newer fixed assets which utilize the latest in technology. Ronnie has been offered $52,000 for his old assets. What is the net cash flow from the salvage value if the tax rate is 34 percent?

 

MACRS 5-year property
Year Rate
1 20.00%
2 32.00%
3 19.20%
4 11.52%
5 11.52%
6 5.76%

 

Reference no: EM13282502

Questions Cloud

Determine which output signal suers the worst delay : If Nand gates are used throughoutand a ripple-carry design is used, calculate the delay through the adder, assuming all inputs are presented at the same instant, and counting D seconds per gate. Which output signal suers the worst delay.
Regression analysis- benefits and intrinsic : Run a regression analysis using the BENEFITS column of all data points in the AIU data set as the independent variable and the INTRINSIC job satisfaction column of all data points in the AIU data set as the dependent variable.
Compute the standard molar enthalpy of formation : Calculate the standard molar enthalpy of formation ?H°f of N2H4(g) from the following information: N2(g) + 2H2(g) ? N2H4(l) ?H°rxn = +50.6 kJ N2H4(g) ? N2H4(l) ?H°rxn = -44.8 kJ A. +5.8 kJ/mol B. +95.4 kJ/mol C. +47.7 kJ/mol D. -95.4 kJ/mol E. -5...
Determine the focal length of the projection lens : How far from the object should the lens of the projector be placed to form the image on the screen?
What is the net cash flow from the salvage value : Ronnie has been offered $52,000 for his old assets. What is the net cash flow from the salvage value if the tax rate is 34 percent?
Determine the angle between the vectors : Draw a cube and Cartesian axes. All points of the cube lie in the (+,+,+) octant of the coordiante system. Determine the angle (in degrees) between the vectors OA and OC
Calculate the electrical repulsion : Imagine two 5.0 g bags of protons, one at the earth's north pole and the other at the south pole. Calculate the electrical repulsion
Determine the charge on the outer surface of the shell : A conducting sphere that carries a total charge of -9.1 µC is placed at the center of a conducting spherical shell that carries a total charge of +1.7 µC. Determine the charge on the outer surface of the shell
At what vds will the device go into saturation : An NMOS operating in triode region with Vds=0.1V conducts 60μA forVgs=2V. The device conducts 160μA for Vgs=4V. Calculate Vt. IfKn'=25μA/V2 , what is the device W/L What current would flow for Vgs=3V and Vds=0.15V

Reviews

Write a Review

Finance Basics Questions & Answers

  How large will your account balance be in 25 years

You are planning to make annual deposits of $6,210 into a retirement account that pays 8 percent interest compounded monthly. How large will your account balance be in 25 years?

  What is the amount of the total fixed costs

At a production level of 6,000 units a project has total costs of $120,000. The variable cost per unit is $14.50. What is the amount of the total fixed costs?

  Dividend policy and optimal level of debt

Modigliani and Miller have postulated that dividend policy is basically irrelevant in that if a firm is growing-What difference might it make to an investor if the dividend is either in cash or in shares of stock?

  Calculate the cost of preferred stock

Topstone Corporation preferred stock pays an annual dividend of $4.00 per share. When issued, the shares sold for their par value of $100 per share.

  Risk management-hedging

Mr. Goodie holds American put options on Delta Triangle stock. The exercise price of the put is $40 and Delta stock is selling for $35 per share. If the put sells for $4.5, what is the best strategy for Mr. Goodie?

  What is the expected one-year rate

According to the Expectations Hypothesis, what is the expected one-year rate in the marketplace for year 2?

  Analyzing a business

Suppose your friend, Michelle, has just purchased a buy. Because Michelle knows that you have just received your Associate's in Management at a university, she has asked for you for help in evaluating the company.

  Objective type questions on payback period and npv and irr

Objective type questions on payback period, NPV and IRR and What is the internal rate of return that Turnbull can earn on this project

  Find market value of the outstanding preferred stock

Jones Design wishes to estimate the value of its outstanding preferred stock. The preferred stock issue has an 80 dollar par value and pays an annual dividend of $6.40 each share.

  Calculating the return on an investment

A 1949 Vincent Black Shadow Series V motorcycle sold for about $45,000 in 1996. If you were fortunate enough to have bought one new for $630 in 1949,

  Information for financial analysis

Do you think that the explanatory notes, supplementary schedule, Management's Discussion and Analysis, 10-K filing, Auditor's report and Proxy statements provide more data for financial analysis.

  Discuss each of the factors that impact market segmentation

In your own words, discuss each of the factors that impact market segmentation in global capital markets.

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