Question
In: Finance
Consider the purchase of a new combine. The specific information is:
Consider the purchase of a new combine. The specific information is:
Purchase price = $750,000.00, Purchase date = Jan 1, 2020
Useful life =6 years, Salvage value = $100,000.00
Complete each depreciation table.
Note: each highlighted box is worth 1 point – for a total of 10 points possible
Fill in the table using the straight-line method
Year | Remaining value at beginning of year | Depreciation | Remaining value at end of year |
2020 | |||
2021 | |||
2022 | |||
2023 | |||
2024 | |||
2025 |
Solutions
Expert Solution
| Value at beginning | Depreciation | Value at End | |
| 01-01-2020 | 750000 | 108333.333 | 641666.667 |
| 01-01-2021 | 641666.6667 | 108333.333 | 533333.333 |
| 01-01-2022 | 533333.3333 | 108333.333 | 425000 |
| 01-01-2023 | 425000 | 108333.333 | 316666.667 |
| 01-01-2024 | 316666.6667 | 108333.333 | 208333.333 |
| 01-01-2025 | 208333.3333 | 108333.333 | 100000 |
Depreciation = (750000-100000)/6 = 108333.3333
jeff jeffy answered 3 years agoRelated Solutions
Consider the purchase of a new farm truck (automobile). The specific information is: Total Purchase cost...
Consider the purchase of a new farm truck (automobile).
The specific information is:
Total Purchase cost =
$150,000.00
Purchase date = Jan 1, 2020
Useful life = 6
years
Salvage value = $50,000.00
Note: each highlighted box is worth 1 point
Complete each depreciation table.
ECONOMIC DEPRECIATION:
Fill in the table using the straight-line depreciation
method for economic depreciation. (5 points)
Year
Remaining value at beginning of year
Depreciation
Remaining value at end of year
2020
2021
2022...
Consider the purchase of a new farm truck (automobile). The specific information is: Total Purchase cost...
Consider the purchase of a new farm truck (automobile).
The specific information is:
Total Purchase cost =
$150,000.00
Purchase date = Jan 1, 2020
Useful life = 6
years
Salvage value = $50,000.00
Note: each highlighted box is worth 1 point
Complete each depreciation table.
ECONOMIC DEPRECIATION:
Fill in the table using the straight-line depreciation
method for economic depreciation. (5 points)
Year
Remaining value at beginning of year
Depreciation
Remaining value at end of year
2020
2021
2022...
On 1/1/X1, Tractor Co. sold a new combine to Jim’s U-Pick farm. The purchase agreement 8.4...
On 1/1/X1, Tractor Co. sold a new combine to Jim’s U-Pick
farm. The purchase agreement 8.4 establishes a base price of
$100,000, plus a contractual interest rate of 5%, payable in 48
monthly installments of $2,302.93. Control of the combine
transferred to Jim when Jim signed the contract and had the combine
delivered
that same day. If Jim had obtained separate financing (say, a
bank loan) for the purchase, his interest rate would have
been 6%.
What amount of revenue...
Dealer Financing On 1/1/X1, Tractor Co. sold a new combine to Jim’s U-Pick farm. The purchase...
Dealer Financing On 1/1/X1, Tractor Co. sold a new combine to
Jim’s U-Pick farm. The purchase agreement
establishes a base price of $100,000, plus
a contractual interest rate of 5%, payable in 48
monthly installments of $2,302.93.
Control of the combine
transferred to Jim when Jim signed the
contract and had the combine delivered that same day. If
Jim had obtained separate financing (say, a bank loan) for the
purchase, his interest rate would have been
6%.
What amount of...
"Your company has asked you to consider the purchase of a new machine for a project....
"Your company has asked you to consider the purchase of a new
machine for a project. Details of this potential purchase are
provided below.
-The project life is 3 years.
The machine costs $187,000.
* You have decided your company will pay cash for half of this
machine immediately, and will borrow the remaining half at 5%
annual rate compounded annually over 3 years.
* The machine will be depreciated using a seven year MACRS
approach.
Annual O&M costs (expenses)...
"Your company has asked you to consider the purchase of a new machine for a project....
"Your company has asked you to consider the purchase of a new
machine for a project. Details of this potential purchase are
provided below.
-The project life is 3 years.
The machine costs $187,000.
* You have decided your company will pay cash for half of this
machine immediately, and will borrow the remaining half at 5%
annual rate compounded annually over 3 years.
* The machine will be depreciated using a seven year MACRS
approach.
Annual O&M costs (expenses)...
Consider a new product or service that has recently become available for purchase by consumers. To...
Consider a new product or service that has recently become
available for purchase by consumers. To what extent did this
product or service possess the “screening” characteristics that are
described in the chapter (adding value, providing competitive
advantage, etc.)?
49. A new regulation for safeguarding information processed by a specific type of transaction has come...
49. A new regulation for safeguarding
information processed by a specific type of transaction has come to
the attention of an IT manager. The manager should
FIRST:
Meet with stakeholders to decide how to comply.
Analyze the key risk in the compliance process.
Update the existing security/ privacy policy.
Assess whether existing controls meet the
regulation.
The correct answer is ___
50. Operational risk assessment techniques should be
used by risk/ control professionals to:
Maximize the return on investment (ROI)...
1. What specific information is required when creating a new product that is not required when...
1. What specific information is required when creating a new
product that is not required when creating a new service?
2. How do you view a previously entered credit card charge in
QBO?
Research the Internet for information about one specific respiratory disease that is new to you Write...
Research the Internet for information about one specific
respiratory disease that is new to you
Write a report describing a respiratory
disease that is new to you.
Remember to Cite your sources
Please Add personal comments (this makes
discussions more interesting)
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- Mobile and wireless devices are being increasingly used in the Business Administration and Management Industry. write...
- What are the options that might be considered in relation to introducing flexible work practices? What...
- Question 2 : Aggregate Scores: Write a program that opens 2 files, quiz.txt, and hw.txt. The...
- Define the term symbiosis specifically as it applies in a biological context. Compare and contrast parasitism,...
- A research team conducted a study showing that approximately 20% of all businessmen who wear ties...
- Research the internet for companies that have executed data science projects. Pick one company and describe...
- Explain two theories or frameworks for understanding how Western Europe emerged out of 1,000 years of...
ADVERTISEMENT