The Jones Company has just completed the third year of a​ five-year MACRS recovery period for a piece of equipment it originally purchased for

$298,000.

a. What is the book value of the​ equipment?

b. If Jones sells the equipment today for

$176,000

and its tax rate is

35%​,

what is the​ after-tax cash flow from selling​ it?

Note​:

Assume that the equipment is put into use in year 1.

a. What is the book value of the​ equipment?

The book value of the equipment after the third year is

​(Round to the nearest​ dollar.)

An investment offers $7,952 per year for 24 years, with the first payment occurring 1 year from now. If the required return is 13 percent, what is the value of the investment?

An investment offers $3,751 per year for 18 years, with the first payment occurring 6 years from now. If the required return is 9 percent, what is the value of the investment? (HINT: Remember that when you calculate the PV of the annuity, the claculator gives you the present value of the annuity 1 period before the annuity starts. So if the annuity starts in year 7, that calculator will to give you the persent value of annuity in year 6. Now you have to bring this number to period 0 by inputting: N=6 (1 period before the annuity starts, in your case it would be a different number depending when your annuity starts) R=9 FV=Present value of annuity you found in step 1. And you solve for PV)

For Oxford Corporation, year-end plan assets were $3,000,000. At the beginning of the year, plan assets were $2,450,000. During the year, contributions to the fund were $180,000 and benefits paid were $110,000. Compute Oxford's actual return on plan assets.

Select one:

a. $260,000

b. $350,000

c. $480,000

d. $550,000

e. $840,000

Swifty Corporation reported net income of $203000 for the year. During the year, accounts receivable increased by $15000, accounts payable decreased by $6000 and depreciation expense of $32000 was recorded. Net cash provided by operating activities for the year is

$214000.

$192000.

$179000.

$203000.

Choctaw Co. completed the following transactions in Year 1, the first year of operation:

1. Issued 39,000 shares of $10 par common stock for $10 per share.

2.Issued 4,900 shares of $20 stated value preferred stock for $20 per share.

3. Purchased 2,900 shares of common stock as treasury stock for $12 per share.

4. Declared a $3,900 cash dividend on preferred stock.

5. Sold 2,000 shares of treasury stock for $14 per share.

6. Paid $3,900 cash for the preferred dividend declared in Event 4.

7.Earned cash revenues of $116,000 and incurred cash expenses of $60,000.

8. Appropriated $9,900 of retained earnings.

Required

a.Organize the transaction in accounts under an accounting equation.

b. Prepare the stockholders’ equity section of the balance sheet as of December 31, Year 1.

Complete this question by entering your answers in the tabs below.

• Required A
• Required B

Organize the transaction in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. If there is no effect on the Account Titles for Retained Earnings, leave the cell blank.)

Multiple Choice

• $807.83

• $739.55

• $1,692.20

• $713.25

• $723.25

Weismann Co. issued 11-year bonds a year ago at a coupon rate of 7 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM on these bonds is 6 percent, what is the current bond price?

A year ago, Perlman Co. issued a 15-year bond, at a coupon rate of 4.9% per annum paid semi-annually. If the bonds have a par value of $1000, and YTM is 4.5%, what is the current bond price?

Select one:

a. $1041.00

b. $1041.22

c. $1040.00

If 10-year T-bonds have a yield of 6 %, and the 10-year corporate bonds of Raytheonion Inc. yield 9 %, the maturity risk premium on all 10-year bonds is 1.52%, and corporate bonds have a 0.48 % liquidity premium versus a zero liquidity premium for T-bonds, what is the default risk premium on the corporate bond?

A company's 5-year bonds are yielding 7.85% per year. Treasury bonds with the same maturity are yielding 5.9% per year, and the real risk-free rate (r*) is 2.45%. The average inflation premium is 3.05%, and the maturity risk premium is estimated to be 0.1 x (t - 1)%, where t = number of years to maturity. If the liquidity premium is 1.05%, what is the default risk premium on the corporate bonds? Round your answer to two decimal places.