An equipment costing P250,000 has an estimated life of 15 years with a book value of P30,000 at the end of the period. Compute the depreciation charge and its book value after 10 years using straight-line method.   WITH CASH FLOW DIAGRAM

Tipton Corporation has gathered the following data on a proposed investment project (Ignore income taxes.): Investment required in equipment Annual cash inflows Salvage value of equipment Life of the investment Required rate of return O 5 years O 15 years O2 years O 7.143 years $ 30,000 $ 6,000 $0 Chapter 8 15 10 The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. The payback period for the investment is: years %

2. Marigold Corp. is considering the purchase of a piece of equipment and has complied the information…

The following proforma shows unleveraged cash flows for a property if an investor were to purchase it today and resell it at the end of the third year: (Show answer in Excel) What is the present value of the each of the discounted cash flows from Year 1, Year 2, and Year 3, using a discount rate of 8.75% (hint: calculate each on separately)? What is the Net Present Value of this investment?

Help please    The following details relate to a particular asset Future Cash flows (per annum) 90,000 Expected period of cash flows 3 years Discount Rate 10% Open market price of asset 210,000 Cost of asset 630,000 Accumulated depreciation 450,000   Calculate both :   a)determine the recoverable amount for this asset        b)Determine whether the asset is impaired

Subject: acounting

Bella Ltd wishes to invest in either project X or project Y, and has provided you with the following information.           Project X Project Y       Initial Investment   Shs. 20,000 Shs. 30,000       Estimated Life   5 years 5 years         Scrap Value     Shs. 1,000 Shs. 2,000       The profits before depreciation and after taxation (cash flows) are as follows:                                 Year 1   Year 2     Year 3     Year 4   Year 5                               Project x   Shs.   Shs.   Shs.   Shs.   Shs.   5,000   10,000     10,000     3,000   2,000   Project y                   20,000   10,000     5,000     3,000   2,000…

D1.

Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $480,000 cost with an expected four-year life and a $20,000 salvage value. Additional annual information for this new product line follows. Required 1. Determine income and net cash flow for each year of this machine’s life.2. Compute this machine’s payback period, assuming that cash flows occur evenly throughout each year.3. Compute net present value for this machine using a discount rate of 7%.

s Find the present worth at time 0 of the chrome plating costs shown in the cash flow diagram. Assume /= 12% per year. P-7 2000 1800 1400 1600 1200 1000 year The present worth of the chrome plating is determined to be $