Jobe Concrete Products placed a new sand sifter into production 3 years ago. It had an installed cost of $100,000, a life of 5 years, and an anticipated salvage of $20,000. Book depreciation charges for the 3 years are $40,000, $24,000, and $14,000, respectively. (a) Determine the book value after 2 years. (b) If the sifter’s market value today is $20,000, determine the difference between its current book value and its market value. (c) Determine the total percentage of the unadjusted basis written off through year 3.

Raytheon wishes to use an automated environmental chamber in the manufacture of electronic components. The chamber is to be used for rigorous reliability testing and burn-in. It is installed for $1,340,000 and will have a salvage value of $170,000 after 8 years. Its use will create an opportunity to increase sales by $650,000 per year and will have operating expenses of $250,000 per year. All dollar amounts are expressed in real dollars. Depreciation follows MACRS 5-year property, taxes are 25%, the real after-tax MARR is 10%, and inflation is 3.4%. a. Determine the actual after-tax cash flows for each year. ATCFO - $ ATCF₁ - $ ATCF₂ = $ ATCF3 = $ ATCF4-S ATCFS = $ ATCF6-$ ATCF7 = $ ATCFB = $ b. Determine the PW of the after-tax cash flows. PWST-$ c. Determine the AW of the after-tax cash flows. AWST-$ d. Determine the FW of the after-tax cash flows. FWST - S e. Determine the combined IRR of the after-tax cash flows. IRR % f. Determine the combined ERR of the after-tax cash flows.…

A machine purchased for #919866 has a depreciable life of 7 years, and it has a terminal book (salvage) value of 28588 at the end of its depreciable life. With the straight-line method of depreciation, what is the asset's book value at the end of year 5? Round your answer to 2 decimal places.

An equipment costs #3839918 with the estimated salvage value of #541958 at the end of 7 years. What is the annual depreciation cost by sinking fund method at 2.3% interest? Round your answer to 2 decimal places.