A new machine with a purchase price of $109,000, with transportation costs of $12,000, installation costs of $5,000, and special
1 answer:
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Answer:
Option (D) is correct.
Explanation:
1.We use the formula:
where
A=future value
P=present value
r=rate of interest
n=time period.
= 1,060 [1.2544 + 1.12 + 1]
= 1,060 × 3.3744
= $3,576.864
Therefore, the amount of $3,576.864 will Ashley have to buy a new LCD TV at the end of three years.
(b) Future value of annuity due = Future value of annuity × (1 + interest rate)
= $3,576.86(1 + 0.12)
= $3,576.86 × 1.12
= $4,006.08
She will save around $4,006.08
Answer:
amount of depreciation expense = $49,560
so correct option is A.) $49,560
Explanation:
given data
purchased cost = $341,560
useful life = 8 years
residual value = $19,000
machine produce = 768,000 bolts
1st year produced = 114,000 bolts
2nd year production increased = 118,000 units
to find out
amount of depreciation expense that should be recorded for the second year
solution
we get here amount of depreciation expense for 2nd year that is express as
amount of depreciation expense = ( purchased cost - residual value ) × 2nd year production increased ÷ machine produce ......................1
put here value we get
amount of depreciation expense = $341,560 - $19,000 ×
amount of depreciation expense = $49,560
so correct option is A.) $49,560