Suppose a computer software developer for a certain company purchased a computer system for $55,000 on April 27, 2017. The computer system is used for business 100% of the time. The accountant for the company elected to take a $30,000 Section 179 deduction, and the asset qualified for a special depreciation allowance. (a) What was the basis for depreciation (in $) of the computer system? (See Table 17-4.) $  (b) What was the amount (in

6) a. b. C. d. What is the present value of $15,000 received today, $2,500 received at the end of each of the next six years and $10,000 received at the end of the 7th year, assuming a required rate of return of 4.50% ? $38,143 $16,899.89 $29,990.22 $35,243

Kier Company issued $740,000 in bonds on January 1, Year 1. The bonds were issued at face value and carried a 3-year term to maturity. They had a 5.50% stated rate of interest that was payable in cash on December 31st. Based on this information alone, the amount of interest expense shown on the December 31, Year 1 income statement and the cash flow from operating activities shown on the December 31, Year 1 statement of cash flows would be:     Interest Expense Cash Outflow A. $40,700 zero B. zero $40,700 C. $40,700 $40,700 D. zero zero   Multiple Choice   Choice A   Choice B   Choice C   Choice D

Currently, student loans have a payoff time of 25 years at an interest rate of about 7.5% compounded monthly. Suppose the remaining principal of your student loan is $33,760 and the remaining payoff time is 15 years at the 7.5% rate. You recently inherited $40,000 and can't decide if you should pay off your student loan or invest the money in a high yield savings account. Before moving on... Determine the total amount of the loan you will pay back after the remaining 15 years.

Ms. Rowel would like to buy a house costing $190000. She is required to make a down payment equalto 10% of the value of the house then borrow the balance from a bank that charges interest at an annualrate of 4.2% compounded monthly. The bank loan has to be paid o§ with equal monthly payments,(paid at the end of each month), in 30 years. Assume that she will get the loan at the beginning of amonth and start making monthly payments on the last day of each month until the loan is paid o§.