Question: didnt mean to post it. refund my question Easter Inc. purchases a machine for $15,000. This machine qualifies as a five-year recovery asset under MACRS

didnt mean to post it. refund my question

Easter Inc. purchases a machine for $15,000. This machine qualifies as a five-year recovery asset under MACRS with the fixed depreciation percentages as follows: year 1 = 20.00%; year 2 = 32.00%; year 3 - 19.20%; year 4. 11.52%. Eastern has a tax rate of 20%. If the machine is sold at the end of four years for $4,000, what is the cash flow from disposal? O A. $2,592.00 OB. $1,408.00 OC. $3,718.40 OD. $3,535.36 Easter Inc. purchases a machine for $15,000. This machine qualifies as a five-year recovery asset under MACRS with the fixed depreciation percentages as follows: year 1 = 20.00%; year 2 = 32.00%; year 3 - 19.20%; year 4. 11.52%. Eastern has a tax rate of 20%. If the machine is sold at the end of four years for $4,000, what is the cash flow from disposal? O A. $2,592.00 OB. $1,408.00 OC. $3,718.40 OD. $3,535.36

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

answer questions Previous Page Next Page Page 3 Question 4 (6 points) Eastern Inc. purchases a machine for $70,000. This machine qualifies as a five-year recovery asset under MACRS with the fixed...

18) Find the Modified Internal Rate of Return (MIRR) for the following series of future cash flows, given a discount rate of 11%: Year 0: -$22,000; Year 1: $5,000; Year 2: $6,000; Year 3: $7,000;...

Western Inc. purchases a machine for $70,000. This machine qualifies as a fiv depreciation percentages as follows: year 1 = 20.00%; year 2 = 32.00%; year 20%. If the machine is sold at the end of two...

Question 17 (1 point) Eastern Inc. purchases a machine for $140,000. This machine qualifies as a five-year recovery asset under MACRS with the fixed depreciation percentages as follows: year 1 =...

24) In a stream of past dividends, the initial dividend is $1.25 and the most recent dividend is $1.80. The number of years between these two dividends (n) is 9 years. What is the average growth rate...

ANSWER THE FOLLOWING: SHOW WORK 24) In a stream of past dividends, the initial dividend is $1.25 and the most recent dividend is $1.80. The number of years between these two dividends (n) is 9 years....

2. the revenue is $42,000, the cost of goods is sold 21,000, other expenses (from selling and administration are $6000, and depreciation is 2,000. What is EBIT? A) $13,000 B) $29,000 C) $4,000 D)...

Eastern Inc. purchases a machine for $17,000. This machine qualifies as a five-year recovery asset under MACRS with the fixed depreciation percentages as follows: year t = 22% year 2 = 31% year 3 =;...

Your girlfriend plans to start a new company to make a new type of cat litter. Her father will finance the operation, but she will have to pay him back. You are helping her, and the issue now is how...

Define third normal form. What types of problems would you find in tables that are not in third normal form?

A company is considering two similar imvestment projects, One has an initial cost of $ 5 0 , 0 0 0 and the other an initial cost of $ 4 5 0 , 0 0 0 which eveluarcon method would be most appropriate?...

Draw a class diagram and its relationship based on the following statements. You can use any UML tool/software to represent your class diagram. Do NOT copy and paste your diagram, use the attachment...