User Account

All Pages

What is the tax implication on the sale of this new machine

Assignment Help Accounting Basics
Reference no: EM133187267

Question - A machine will reach the end of its useful life in 5 years. The realizable salvage value is expected to be $50,000 with a book value of zero. The company's marginal tax rate is 34%. What is the tax implication on the sale of this new machine at year 5?

Tax shield of $17,000

Tax Liability of $17,000

Tax shiel of $33,000

Tax Liability of $33,000

Reference no: EM133187267

Questions Cloud

Show the financial statement presentation of eps : During 2021, Mister paid dividends of $2.50 per share on the preferred stock. Show the financial statement presentation of EPS for 2021
Compute the cost of goods purchased : Question - The following data pertains to Taylor Company for the year. Compute the cost of goods purchased and cost of goods sold
Organizational theory and design : 1. Which of the three organizational problems-separate reporting systems, business self-interest, no technology transfer-would you address first? Explain.
Innovate an effective solution : How does it solve the problem? Formulate a suitable strategy for acquiring the knowledge needed to support and develop your innovation.
What is the tax implication on the sale of this new machine : The company's marginal tax rate is 34%. What is the tax implication on the sale of this new machine at year 5
How much should this company invest today : A company will like to invest in capital budget project. In 40 years the project will be worth $500,000 in today's dollars. How much should this company invest
What is the definition of a regression analysis : What is the definition of a regression analysis, and why would a researcher be interested in using this type of analysis? Share at least three specific real-wor
What is the projected addition to fixed assets : Question - Assume that Creative Analysis, Inc. is currently operating at 70 percent of capacity. What is the projected addition to fixed assets
What amount should be reported as basic earnings per share : In addition, the entity issued 100,000 incentive share options with an exercise price of P30. What amount should be reported as basic earnings per share

Reviews

Write a Review

Accounting Basics Questions & Answers

  Financial accounting provides financial information

Financial accounting provides financial information to all of the following external users except

  Which of the equity accounts would be affected directly

Which of the equity accounts would be affected directly or indirectly by the revaluation? Prepare journal entries to reflect the revaluation of the asset.

  Determine the cost of the unfinished jobs at March

Jobs finished during March are summarized as follows: Job 320 $72,400 and Job 326 $79,200. Determine the cost of the unfinished jobs at March

  Prepare t accounts for the accounts listed in part 1 post

john smith established johns antique appraisals company and completed the following transactions during july the first

  By how much must the firm accounts payable level change

By how much must the firm accounts payable level change in order to meet its goal of a 35-day reduction in the cash conversion cycle

  Scott kim and koko organized the skk corporation on january

scott kim and koko organized the skk corporation on january 1 20a. each of these owners invested 27000 cash and

  What is the amount of the discount

1. What is the amount of the discount on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds?

  Define the problem to include possible political conflicts

Analyze and define the problem to include possible political conflicts. Identify risks and challenges. Identify and construct policy alternatives and solutions.

  What amount should charm report as life insurance expense

During 2019, dividends of P30,000 were applied to increase the cash surrender value of the policy. What amount should Charm report as life insurance expense

  What is the enterprise value-ebitda multiple for company

The market value of the equity of Ginger, Inc., is $590,000. What is the enterprise value-EBITDA multiple for this company

  What will your equal monthly payment be

Suppose you take out a $15,000 loan at a 8% nominal annual rate. What will your equal monthly payment be? Show your work or describe how you solved it

  Find the compensation expense related to the options

Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner uses the straight-line method.

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