A procurement engineer bought a large transformer core for Php 250,000. Other expenses including installation amounted to Php 30,000. At the end of its estimated useful life of 15 years, the salvage value will be 25% of the first cost. Using straight line method for depreciation, what is the book value after 4 years?

A pump costs $7000 has a life of 5 years with no salvage value.  What is the SL depreciation amount for each year?  Assume the depreciation will take over the entire life.

You must evaluate the purchase of a spectrometer for the R&D department. The base price is $140,000, and it would cost another $30,000 to modify the equipment for special use by the firm. The equipment falls into the MACRS 4 year class and would be sold after 4 years for $60,000. The applicable depreciation rates are 33%, 45%, 15% and 7%. The equipment would require an $8000 increase in net operating working capital. The project would have no effect on revenues, but it should save the firm $50,000 per year before-tax labour costs. The firm's marginal federal-plus state tax rate is 40%.   QUESTION:W Whatare the project's annual cash flows in Years 1, 2,3 and 4?

VML Industries has need of specialized yarn manufacturing equipment for operations over the next 3 years. The firm could buy the machinery for $95,000 and depreciate it using MACRS (this is a 7-year property). Annual maintenance would be $7500, and it would have a salvage value of $25,000 after 3 years. Another alternative would be to lease the same machine for $45,000 per year on an "all costs" inclusive lease (maintenance costs included in lease payment). These lease payments are due at the beginning of each year. VML Industries uses an after-tax MARR of 18% and a combined tax rate of 48%. Do an after-tax present worth analysis to determine which option is preferred.

An asset costs $14300. What declining-balance depreciation rate would result in the scrap value of $5820 after 4 years? (Units of % required for response)

The value if Gross fixed capital formation is $400 million and the value of net domestic capital formation is $250 million Find the value of depreciation

A numerically controlled milling machine was purchased for $95,000. The estimated salvage value was $15,000 after 15 years. What is the machine’s book value after 5 years of depreciation? If the machine is sold for $20,000 early in Year 7, how much gain on sale or recaptured depreciation is there? Assume(a) Straight-line depreciation(b) 150% declining balance depreciation(c) 80% bonus depreciation with the balance using 7-year MACRS depreciation(d) 7-year MACRS depreciation

If depreciation is $604 million and gross value is $800 million Find the value of net value

An engineering firm purchased 25 years ago a mini power plant for Php 5.0 M. Other expenses including repairs amounted to Php 500,000. The mini power plant is up to next 25 years only and for the plant to operate. The salcage value is Php 500,000. Determine the depreciation charge during the 20TH and 40TH year. Also determine the book value at the end of 25th and 45th years if interest is 12% using a) Sum of the Years Digit method, b) Sinking Fund method and c) Double Declining Balance method .   Pls show complete handwritten solution

quipment associated with manufacturing small railcars had a first cost of $170,000 with an expected salvage value of $30,000 at the end of its 5-year life. The revenue was $630,000 in year 2, with operating expenses of $98,000. If the company’s effective tax rate was 36%, what would be the difference in taxes paid in year 2 if the depreciation method were straight line instead of Modified Accelerated Cost Recovery System (MACRS)? The MACRS depreciation rate for year 2 is 32%. The difference in taxes paid is determined to be $  .