What is the accumulated sum of the following stream of payments?
$924 every year at the end of the year for 11 years at 5.88 percent, compounded annually.

Round the answer to two decimal places and show work

For the next 15 years, you decide to place $4,171 in equal year-end deposits into a savings account earning 14.91 percent per year. How much money will be in the account at the end of that time period?

Round the answer to two decimal places and show work

What is the present value of the following annuity?
$994 every year at the end of the year for the next 13 years, discounted back to the present at 14.31 percent per year, compounded annually?

Round the answer to two decimal places and show work

You have accumulated some money for your retirement. You are going to withdraw $98,014 every year at the end of the year for the next 21 years. How much money have you accumulated for your retirement? Your account pays you 3.86 percent per year, compounded annually. To answer this question, you have to find the present value of these cash flows.

Round the answer to two decimal places.

Required information [The following information applies to the questions displayed below.] O’Brien Company manufactures and sells one product. The following information pertains to each of the company’s first three years of operations: Variable costs per unit: Manufacturing: Direct materials $ 29 Direct labor $ 18 Variable manufacturing overhead $ 4 Variable selling and administrative $ 3 Fixed costs per year: Fixed manufacturing overhead $ 560,000 Fixed selling and administrative expenses $ 180,000 During its first year of operations, O’Brien produced 96,000 units and sold 77,000 units. During its second year of operations, it produced 82,000 units and sold 96,000 units. In its third year, O’Brien produced 87,000 units and sold 82,000 units. The selling price of the company’s product is $74 per unit. 2. Assume the company uses variable costing and a LIFO inventory flow assumption (LIFO means last-in first-out. In other words, it assumes that the newest units in inventory are sold first): a. Compute the unit product cost for Year 1, Year 2, and Year 3. b. Prepare an income statement for Year 1, Year 2, and Year 3.

discount rate is 10%

1.A stream of cash flows that pays $100 every year for 10 year. The first cash flow is received at t=3 and you will receive additional $1000 at the end of the 12 years.,What is the PV at time zero? what is the FV at time 12?

2.A stream of cash flows that pays $100 every year for 10 year. The first cash flow is received at t=3.What is the PV at time zero? what is the FV at time 12?

3.A stream of cash flows that pays $100 every year for 10 year. The first cash flow is received at t=1 and you will receive additional $1000 at t=5.What is the PV at time zero? what is the FV at time 10

4.A stream of cash flows that pays $100 every year for 10 year. The first cash flow is received at t=1 .What is the PV at time zero? What is the FV at time 10?

5.A stream of cash flows that pays $100 every year for 10 year. The first cash flow is received at t=1 and you will receive additional $1000 at the end of the 10 years.,What is the PV at time zero? what is the FV at time 12?

Ratio of Liabilities to Stockholders' Equity and Number of Times Interest Earned

The following data were taken from the financial statements of Hunter Inc. for December 31 of two recent years:

The income before income tax was $756,000 and $661,500 for the current and previous years, respectively.

a. Determine the ratio of liabilities to stockholders' equity at the end of each year. Round to one decimal place.

b. Determine the times interest earned ratio for both years. Round to one decimal place.

c. The ratio of liabilities to stockholders' equity has improved  and the number of times bond interest charges were earned has improved  from the previous year. These results are the combined result of a larger  income before income taxes and lower

Correct

interest expense in the current year compared to the previous year.

our company is considering a machine that will cost $ 6,582 at Time 0 and which can be sold after 3 years for $ 231 . To operate the machine, $ 418 must be invested at Time 0 in inventories; these funds will be recovered when the machine is retired at the end of Year 3. The machine will produce sales revenues of $ 981 /year for 3 years; variable operating costs (excluding depreciation) will be 56 percent of sales. Operating cash inflows will begin 1 year from today (at Time 1). The machine is in the 3-year MACRS class. The MACRS class has depreciation of 33% in year 1, 45% in year 2, 15% in year 3, and 7% in year 4. The company has a 30 percent tax rate, enough taxable income from other assets to enable it to get a tax refund from this project if the project's income is negative, and a 10 percent cost of capital. Inflation is zero. What are the terminal cash flows associated with ending this project?

Note, I want only the Year 3 terminal cash flows, not the year 3 operating cash flows. Show your answer to the nearest $.01 Do not use the $ symbol in your answer.

[The following information applies to the questions displayed below.]

O’Brien Company manufactures and sells one product. The following information pertains to each of the company’s first three years of operations:

During its first year of operations, O’Brien produced 93,000 units and sold 76,000 units. During its second year of operations, it produced 77,000 units and sold 89,000 units. In its third year, O’Brien produced 81,000 units and sold 76,000 units. The selling price of the company’s product is $80 per unit.

1.

value:
1.00 points

Required information

Required:

1. Assume the company uses variable costing and a FIFO inventory flow assumption (FIFO means first-in first-out. In other words, it assumes that the oldest units in inventory are sold first):

a. Compute the unit product cost for Year 1, Year 2, and Year 3.

b. Prepare an income statement for Year 1, Year 2, and Year 3.

References

eBook & Resources

Financial StatementsLearning Objective: 05-01 Explain how variable costing differs from absorption costing and compute unit product costs under each method.

Difficulty: 3 HardLearning Objective: 05-02 Prepare income statements using both variable and absorption costing.

Ask your instructor a questionCheck my work

2.

value:
1.00 points

Required information

2. Assume the company uses variable costing and a LIFO inventory flow assumption (LIFO means last-in first-out. In other words, it assumes that the newest units in inventory are sold first):

a. Compute the unit product cost for Year 1, Year 2, and Year 3.

b. Prepare an income statement for Year 1, Year 2, and Year 3.

References

eBook & Resources

Financial StatementsLearning Objective: 05-01 Explain how variable costing differs from absorption costing and compute unit product costs under each method.

Difficulty: 3 HardLearning Objective: 05-02 Prepare income statements using both variable and absorption costing.

Ask your instructor a questionCheck my work

3.

value:
1.00 points

Required information

3. Assume the company uses absorption costing and a FIFO inventory flow assumption (FIFO means first-in first-out. In other words, it assumes that the oldest units in inventory are sold first):

a. Compute the unit product cost for Year 1, Year 2, and Year 3. (Round your intermediate calculations and final answers to 2 decimal places.)

b. Prepare an income statement for Year 1, Year 2, and Year 3. (Round your intermediate calculations to 2 decimal places.)

References

eBook & Resources

Financial StatementsLearning Objective: 05-01 Explain how variable costing differs from absorption costing and compute unit product costs under each method.

Difficulty: 3 HardLearning Objective: 05-02 Prepare income statements using both variable and absorption costing.

Ask your instructor a questionCheck my work

4.

value:
1.00 points

Required information

4. Assume the company uses absorption costing and a LIFO inventory flow assumption (LIFO means last-in first-out. In other words, it assumes that the newest units in inventory are sold first):

a. Compute the unit product cost for Year 1, Year 2, and Year 3. (Round your intermediate calculations and final answers to 2 decimal places.)

b. Prepare an income statement for Year 1, Year 2, and Year 3. (Round your intermediate calculations to 2 decimal places.)

Your company has been doing well, reaching $1 million in earnings, and is considering launching a new product. Designing the new product has already cost $500,000. The company estimates that it will sell 800,000 units per year for $3.00 per unit and variable non-labor costs will be $1.00 per unit. Production will end after year 3. New equipment costing $1 million will be required (at year 0). The equipment will be depreciated using 100% bonus depreciation under the 2017 TCJA (i.e. the equipment can be completely depreciated in year 1). You think the equipment will be obsolete at the end of year 3 and plan to scrap it. Your current level of working capital is $300,000. The new product will require the working capital to increase to a level of $380,000 immediately, then to $400,000 in year 1, in year 2 the level will be $350,000, and finally in year 3 the level will return to $300,000. Your tax rate is 21%. The discount rate for this project is 10%. Do the capital budgeting analysis for this project and calculate its NPV.
Note: Assume that the equipment is put into use in year 1.

Hal​ Thomas, a 25​-year-old college​ graduate, wishes to retire at age 60. To supplement other sources of retirement​ income, he can deposit 2,200 each year into a​ tax-deferred individual retirement arrangement​ (IRA). The IRA will earn a return of 12​% over the next 35 years.

a.  If Hal makes annual​ end-of-year ​$2,200 deposits into the​ IRA, how much will he have accumulated by the end of his 60th ​year?

b.  If Hal decides to wait until age 35 to begin making annual​ $2,200 deposits into the​ IRA, how much will he have accumulated by the end of his 60th ​year?

c.  Using your findings in parts a and ​b, discuss the impact of delaying making deposits into the IRA for 10 years​ (age 25 to age 35​) on the amount accumulated by the end of​ Hal's 60th year.

d.  Rework parts a and b assuming that Hal makes all deposits at the​ beginning, rather than the​ end, of each year. Discuss the effect of​ beginning-of-year deposits on the future value accumulated by the end of​ Hal's 60th year.

1. In the following table, assume that someone retires in 2006 with an initial income payment of $25,000 per year in benefits. The benefit payment is then indexed to the Consumer Price Index (CPI) for the next 20 years. Assume also that the CPI would rise by 2% per year. Column (1) shows the value of the CPI in each year, using 2006 as the base year. Calculate the indexed nominal benefits by 2% per year in column (2), the real annual benefits in column (3), the indexed nominal benefits by 3% per year in column (4), and the real annual benefits in column (5).

A machine costing $213,800 with a four-year life and an estimated $19,000 salvage value is installed in Luther Company’s factory on January 1. The factory manager estimates the machine will produce 487,000 units of product during its life. It actually produces the following units: 121,700 in 1st year, 123,800 in 2nd year, 121,100 in 3rd year, 130,400 in 4th year. The total number of units produced by the end of year 4 exceeds the original estimate—this difference was not predicted. (The machine must not be depreciated below its estimated salvage value.)

Required: 1. Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.)

2.Compute depreciation for each year (and total depreciation of all years combined) for the machine under each Units of production.

3.Compute depreciation for each year (and total depreciation of all years combined) for the machine under each Double-declining-balance.