Tina’s Business Inc. bought machines some time ago for $30,000. She decided to sell all the assets from this pool at the end of this year. The pool of assets had a UCC of $5,000 before the sale, and the whole asset class was sold for $40,000. Calculate the amount of any capital gain, and calculate the amount (if any) of CCA recapture and/or terminal loss.
Answer to relevant QuestionsSuppose firms A and B have identical revenues and operating expenses, so that each has earnings before amortization and taxes of $10 million. Both firms will report amortization of $1 million on their public financial ...The firm in Practice Problem 17 had retained earnings of $5,000 at the beginning of the year. Its net income for the year was $7,500, and it paid out $4,000 in dividends. What are its retained earnings at the end of the year?Using the net income and earnings per common share (EPS) figures from Tim Hortons’ income statement, determine how many shares (approximately) the company had outstanding at the end of 2011.Net income attributable to Tim ...Calculate the fixed asset turnover for Finns’ Fridges for years 1 and 2 (note that net fixed assets correspond to “property and equipment (net)” on the company’s balance sheet). Has the company become more or less ...Other candy-making firms have an average forward P/E ratio of 12 at this time. With a share price of $18.20, what are the expected 2013 EPS for Corine’s Candies if its forward P/E ratio is the same as the industry ...
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