Daily Enterprises is purchasing a $ 10.2 million machine. It will cost $ 53 comma 000 to transport and install the machine. The machine has a depreciable life of five years using straight-line depreciation and will have no salvage value. The machine will generate incremental revenues of $ 4.2 million per year along with incremental costs of $ 1.4 million per year. Daily's marginal tax rate is 35 %. You are forecasting incremental free cash flows for Daily Enterprises. What are the incremental free cash flows associated with the new machine?
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Daily Enterprises is purchasing a $ 10.2 million machine. It will cost $ 53 comma 000 to transport and install the machine. The machine has ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
1) Vault cash is equal to $2 million, deposits by depository institutions at the central bank are $1 million, the monetary base is $15 million, and bank deposits are $35 million. Currency held by the nonbank public is A) $3 million. B) $12 million.
Answers (1)
Suppose that you go out and buy 100 lbs. of cucumbers that are 99% water. Unfortunately, you do not observe the rules of caring for your cucumbers so after some time they dehydrate until they are only 98% water. How much do they then weigh?
Answers (1)
On January 1 of the current year, the price of a stock is $42.50, whereas on December 31 of the current year, the price of the stock is $48.78. Determine the capital gain yield of the stock. a. 13.25% b. 14.78% c. 15.14% d. 16 33% e. 17.49%
Answers (1)
A taxpayer will be able to exclude all the income from their canceled debt if they: (A) Received a Form 1099-C with $17,400 in box 2 and $15,700 in box 7, and they were insolvent by $15,800. (B) Had $11,500 of debt canceled.
Answers (1)
The maximum commission allowed a loan broker who negotiates on a second trust deed of $4,500 for a term of five years is: a. 5% b. 10% c. 15% d. any amount
Answers (1)
New Questions in Business
Barr Corp. started a long-term construction project in 20X0. The following data relate to this project: Contract price $4,200,000 Costs incurred in 20X0 $1,750,000 Estimated costs to complete $1,750,000 Progress billings $900,000 Collections on
Answers (1)
Bob contributed a building with an adjusted basis to Bob of $50,000 and a fair market value of $150,000 subject to a mortgage of $120,000 in exchange for a 30 percent interest in the Alpha Partnership. Alpha will assume the mortgage on the building.
Answers (1)
Nareen is single, 68 years old, and reports the following in 2018: a. $12,000 alimony received (divorced in 2010) b. $82,520 Schedule C profit c. $3,500 SEP (self-employed pension) plan contribution d. $7,150 qualified dividends e.
Answers (1)
Sun Inc. has 5,000 shares of 6%, $100 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outstanding at December 31, 2007. What is the annual dividend on the preferred stock? a. $60 per shareb. $30,000 in totalc.
Answers (1)
a risk averse investor, which of the following four otherwise identical investment would you prefer? A. Security W, which exhibits a standard deviation of 2% and offers an average return of 12%. B.
Answers (1)