Target Corporation purchased delivery trucks worth $780,000 with an estimated useful life of 6 years and a salvage value of $60.000. The company uses straight-line depreciation for its vehicles. On July 1, 2024. Target decided to sell one of these trucks, which had a book value of $117,000, for $125,000 cash. What was the gain or loss on the sale of this truck? (Note: The original cost of the sold truck was $195.000, and accumulated depreciation up to the date of sale needs to be calculated). Boeing reported total revenue of $77.8 billion, with $46.6 billion from commercial airplanes and $22.7 billion from defense, space. and security contracts. The company's operating expenses for the year were $72.3 billion, including $13.5 billion in research and development costs. Boeing also faced a one-time legal settlement expense of $1.2 billion related to the 737 MAX issues. The effective tax rate for the year was 21%. and the company paid $800 million in dividends to shareholders. Based on this information, calculate Boeing's net income for 2023 and explain the impact of the legal settlement on the company's profitability.
Target Corporation purchased delivery trucks worth $780,000 with an estimated useful life of 6 years and a salvage value of $60.000. The company uses straight-line depreciation for its vehicles. On July 1, 2024. Target decided to sell one of these trucks, which had a book value of $117,000, for $125,000 cash. What was the gain or loss on the sale of this truck? (Note: The original cost of the sold truck was $195.000, and accumulated depreciation up to the date of sale needs to be calculated). Boeing reported total revenue of $77.8 billion, with $46.6 billion from commercial airplanes and $22.7 billion from defense, space. and security contracts. The company's operating expenses for the year were $72.3 billion, including $13.5 billion in research and development costs. Boeing also faced a one-time legal settlement expense of $1.2 billion related to the 737 MAX issues. The effective tax rate for the year was 21%. and the company paid $800 million in dividends to shareholders. Based on this information, calculate Boeing's net income for 2023 and explain the impact of the legal settlement on the company's profitability.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Target Corporation purchased delivery trucks worth $780,000 with an estimated useful
life of 6 years and a salvage value of $60.000. The company uses straight-line depreciation
for its vehicles. On July 1, 2024. Target decided to sell one of these trucks, which had a
book value of $117,000, for $125,000 cash. What was the gain or loss on the sale of this
truck? (Note: The original cost of the sold truck was $195.000, and accumulated
depreciation up to the date of sale needs to be calculated). Boeing reported total revenue
of $77.8 billion, with $46.6 billion from commercial airplanes and $22.7 billion from
defense, space.
and security contracts. The company's operating expenses for the year
were $72.3 billion, including $13.5 billion in research and development costs. Boeing also
faced a one-time legal settlement expense of $1.2 billion related to the 737 MAX issues. The
effective tax rate for the year was 21%. and the company paid $800 million in dividends to
shareholders. Based on this information, calculate Boeing's net income for 2023 and
explain the impact of the legal settlement on the company's profitability.
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