Cost recovery. Brock Florist Company bought a new delivery truck for $29,000. It was classified as...
Fantastic news! We've Found the answer you've been seeking!
Question:
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/664934a748e8c_638664934a6dd10f.jpg)
Transcribed Image Text:
Cost recovery. Brock Florist Company bought a new delivery truck for $29,000. It was classified as a light-duty truck. The company sold its delivery truck after three years of service. If a five-year life and MACRS, was used for the depreciation schedule, what is the after-tax cash flow from the sale of the truck (use a 40% tax rate) if a. the sales price was $15,000? b. the sales price was $9,000? c. the sales price was $3,000? Cost recovery. Brock Florist Company bought a new delivery truck for $29,000. It was classified as a light-duty truck. The company sold its delivery truck after three years of service. If a five-year life and MACRS, was used for the depreciation schedule, what is the after-tax cash flow from the sale of the truck (use a 40% tax rate) if a. the sales price was $15,000? b. the sales price was $9,000? c. the sales price was $3,000?
Expert Answer:
Posted Date:
Students also viewed these finance questions
-
A beverage wholesale outlet sells beverages by the case. On April 13, a customer purchased 18 cases of wine at $42 per case, 20 cases of soda at $29 per case, and 45 cases of water at $17 per case....
-
From the following list of selected items taken from the records of Metro Appliance Service as of a specific date, identify those that would appear on the balance sheet. 1. Accounts Payable 2....
-
Repeat Problem 10.68 if the bias voltages are changed to \(V^{+}=5 \mathrm{~V}\) and \(V^{-}=-5 \mathrm{~V}\). Data From Problem 10.68:- The parameters of the transistors in the circuit in Figure...
-
Correcting an Erroneous Write-Off} ![](https://cdn.mathpix.com/cropped/2024_06_05_053f512c4ccf78f617dbg-21.jpg?height=132&width=238&top_left_y=1935&top_left_x=243) The new bookkeeper at Kaolin...
-
H. J. Heinz Company uses standards to control its materials costs. Assume that a batch of ketchup (1,880 pounds) has the following standards: The actual materials in a batch may vary from the...
-
Matt Simpson owns and operates Quality Craft Rentals, which offers canoe rentals and shuttle service on the Nantahala River. Customers can rent canoes at one station, enter the river there, and exit...
-
Speedy Corporation manufactures two models of cars, a standard and an executive model. The following activity and cost information has been compiled: Number of Setups 21 19 $55,700 Product Standard...
-
Brothers Herm and Steve Hargenrater began operations of their tool and die shop (H & H Tool) on January 1, 1987, in Meadville, PA. The annual reporting period ends December 31. Assume that the trial...
-
Two plane waves are propagating in the y- z plane in free space (see the diagram to the right). The arrows point in the direction of travel. Wavefront 1 30 30 Wavefront 2 a) Write the equations that...
-
A boat owner has requested the design of a lift mechanism to automatically move a 1000 lb, 15- ft boat from a cradle on land to water. A seawall protects the owner's yard and the boat cradle sits...
-
William acquired 70% of the equity shares of Zeta on I April when Zeta's retained earnings were $200,000 on that date. During the year ended 31 March 20X5, William purchased goods from Zeta totalling...
-
9. (8 points) Use your knowledge of the geometric series to find a power series representation about r = 0 for the following functions, and give the interval of convergence for each: I = 17 (a) f(r)...
-
Explain the concept of the IPS Element Product Support Management?
-
A red card is illuminated by red light. What color will the card appear? What if its illuminated by blue light?
-
Explain the concept and recording of asset impairment. - Impairment exists when the recoverable amount of an asset is less than the carrying value of the asset. - An impairment loss, the excess of...
-
Sanborn Corporations condensed comparative income statements for 20x8 and 20x7 appear below. The corporations condensed comparative balance sheets for 20x8 and 20x7 appear on the next page. Required...
-
Explain the measurement and reporting of intangible assets. - Intangible assets are recorded at cost, which is any expenditure necessary to acquire the asset and prepare it for use. - If the...
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App