Business, 29.03.2021 18:30 jorfos7683

Olsen Inc. purchased a $450,000 machine to manufacture a specialty tap for electrical equipment. The tap is in high demand and Olsen can sell all that it could manufacture for the next 10 years. To encourage capital investments, the government exempts taxes on profits from new investments in this type of machinery. This legislation most likely will remain in effect in the foreseeable future. The equipment is expected to have 10 years of useful life and no salvage value at the end of this 10-year period. The firm uses straight-line depreciation. The net cash inflow is expected to be $132,000 each year. Olsen uses a discount rate of 10% in evaluating its capital investments. The estimated accounting (book) rate of return (to two decimal places) based on average investment for this proposed investment is:

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 03:00

1) u.s. real gdp is substantially higher today than it was 60 years ago. what does this tell us, and what does it not tell us, about the well-being of u.s. residents? what are the limitations of the gdp as a measure of economic well-being? given the limitations, why is gdp usually regarded as the best single measure of a society’s economic well-being? 2) what is an intermediate good? how does an intermediate good differ from a final good? explain why it is the case that the value of intermediate goods produced and sold during the year is not included directly as part of gdp, but the value of intermediate goods produced and not sold is included directly as part of gdp.

Answers: 2

Answer

Business, 22.06.2019 12:50

Suppose the real risk-free rate and inflation rate are expected to remain at their current levels throughout the foreseeable future. consider all factors that affect the yield curve. then identify which of the following shapes that the u.s. treasury yield curve can take. check all that apply.

Answers: 2

Answer

Business, 22.06.2019 15:10

Paying attention to the purpose of her speech, which questions can she eliminate? a. 1 and 2 b. 3 c. 2 and 4 d. 1-4

Answers: 2

Answer

Business, 22.06.2019 23:30

Sally mitchell works as a manager at an environmental organization. she is currently working on a global warming project and decides which tasks related to creating awareness about the issue need to be done. in addition, she is also deciding which members of her team will work on engaging with the public and which will work on lobbying with the government. she is also assigning people as team members to ensure that tasks are undertaken on time. which of the following categories of functions is mitchell undertaking? envisioning organizing controlling planning

Answers: 1

Answer

You know the right answer?

Olsen Inc. purchased a $450,000 machine to manufacture a specialty tap for electrical equipment. The...

Questions