Sale of Equipment

Equipment was acquired at the beginning of the year at a cost of $29,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of ten years and an estimated residual value of $570.

a. What was the depreciation for the first year?
$

b. Assuming the equipment was sold at the end of year 2 for $6,820, determine the gain or loss on the sale of the equipment.
$

c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.

A) If $8000 is deposited at the end of each half year in an account that earns 6.8% compounded semiannually, after how many half years will the account contain $100,000? (Round your answer UP to the nearest half year.)
half years=  

B)

A young executive deposits $200 at the end of each month for 4 years into an account that earns 7.2% compounded monthly. How much is in the account after the 4 years? (Round your answer to the nearest cent).

$

The executive then changes the deposits in order to have a total of $400,000 after 25 total years. What should be the revised monthly payment in order to meet the $400,000 goal? (Round your answer to the nearest cent).

$

How much interest is earned during the 25 years?

$

Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $575,000. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $44,745. a. What was the depreciation for the first year? Round your answer to the nearest cent. $ b. Using the rounded amount from Part a in your computation, determine the gain(loss) on the sale of the equipment, assuming it was sold at the end of year eight for $98,037. Round your answer to the nearest cent and enter as a positive amount. $ c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. Round your answers to the nearest cent.

Equipment was acquired at the beginning of the year at a cost of $75,720. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,920.

Required:

A stock was trading at $125.10 at the end of year 1. It was trading at the end of year 2 at $118.40 immediately after giving a dividend of $5.00. At the end of year 3. it was trading at $128.60 immediately after giving a dividend of $5.20. Finally, it was trading at $138.70 at the end of year 4 without giving out any dividend. What was the arithmetic average annual return of this stock for the three years between years 1 and 4?

Question 4 options:

Equipment was acquired at the beginning of the year at a cost of $79,560. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,800.

a. What was the depreciation expense for the first year?
$

b. Assuming the equipment was sold at the end of the second year for $60,100, determine the gain or loss on sale of the equipment.
$   

c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank or enter "0".

1. There is a golf tournament in the US that started in 1895. That first year the winner received $150. In 2010, the winner received $1,350,000.
   1. What was the percentage increase per year, from 1895 to 2010, over that period of 115 years?

2. If the winner’s prize continues to increase at the same rate, what will it be in the year 2040, or 30 years from now?

2. First Simple Bank pays 6% simple interest on its account balances. Second Compound Bank pays 6% interest compounded annually. If you made a $57,000 deposit in each bank, how much more money would you earn from your Second Compound Bank account at the end of 10 years?

3. You want to buy a Ferrari that only costs $195,000. You’ve already saved $45,000 and plan to invest it today, in an account that pays 5.3% annual interest. If you don’t touch this money, nor add any additional funds into the account, how long will it be before you can buy your Ferrari?

A stock was trading at $21.85 at the end of year 1. It was trading at the end of year 2 at $22.18 immediately after giving a dividend of $0.30. At the end of year 3. it was trading at $21.54 immediately after giving a dividend of $0.32. Finally, it was trading at $23.36 at the end of year 4 without giving out any dividend. What was the geometric average annual return of this stock for the three years between years 1 and 4?

Consider the following information.     

                2010 (base year)                            2011

              Price     Quantity                    Price     Quantity

Car           $100       400                      $120       420

Rice          $25       2,000                       $36     2,005

                      2012

                 Price     Quantity

Car              $130      450

Rice              $38    2,100

1. Compute nominal GDP, real GDP, and the GDP deflator for each year, using 2010 as the base year.
2. Compute the percentage change in nominal GDP, real GDP, and the GDP deflator in 2011 and 2012 from the preceding year.
3. Did economic well-being rise more in 2011 or 2012? Explain.