Net lease type will be the most likely sign by Cheapo manufacturing.
<u>Explanation:</u>
Single net leases, which are frequently alluded to as a Net or N rent, are not as regular in the rental world. In a rent this way, the proprietor moves a negligible measure of hazard to the occupant, who covers the property charges. This implies some other cost, for example, protection, support and fixes, and utilities—are the proprietor's obligation. The landowner is likewise liable for any support and additionally fixes that must be finished over the span of the rent inside the property.
Occupants under a solitary net rent wind up paying marginally lower lease than with a standard rent as a result of the additional expense of property charges. In any case, a higher rental installment doesn't reduce the landowner's obligation regarding staying up with the latest.
Answer:
E. The aftertax salvage value is $81,707.76.
Explanation:
The computation is shown below:
Accumulated depreciation is
= $287,000 × ( .2 + .32 + .192 + .1152)
= $237.406.40
Now the book value is
= Purchase value - accumulated depreciation
= $287,000 - $237,406.40
= $49,593.60
And, the selling value is $99,000
So after tax salvage value is
= Salvage value - (Salvage value - book value) × tax rate
= $99,000 - ($99,000 - $49,593.60) × 35%
= $81,707.76.
Answer:
EPS
Plan I $2.03 per share
Plan II $1.78 per share
Explanation:
Plan I
As this plan is all equity plan, so there is no debt and no interest expense as well.
In the absence of taxes, We will use the EBIT in the calculation of EPS
EPS = Net Earning / Outstanding numbers of shares = $375,000 / 185,000 = $2.03 per share
Plan II
In this levered plan we have debt and equity combination. We also have to deduct the interest expense from EBIT to calculate the net income.
Interest Expense = $2,700,000 x 5% = $135,000
Net Income = EBIT - Interest Expense = $375,000 - $135,000 = $240,000
EPS = Net Income / Outstanding numbers of shares = $240,000 / 135,000 = $1.8 per share
Answer:
simple rate of return = 16.4 %
so correct option is B. 16.4%
Explanation:
given data
purchasing a machine = $423,000
useful life = 9 years
cash operating costs = $112,000 per year
yielding = $27,000
annual depreciation = $47,000
to find out
simple rate of return on the investment
solution
we get here simple rate of return on the investment that is express as
simple rate of return = 
.............................1
put here value we get
simple rate of return = 
solve it we get
simple rate of return = 16.4 %
so correct option is B. 16.4%
Answer:
The correct answer is letter "D": A standardized way of presenting the key terms of your credit card agreement.
Explanation:
Named after Senator Charles Schumer (born in 1950), the Schumer box is part of the disclosure information financial institutions must provide to debtors so they can be aware of what is the interest and fees subject to the use of credit cards. It is a box mostly present in credit card statements but must be included in any credit card solicitation.
