Question: thx here you go four-year expected life, after which the assets can be salvaged for $77 million. In addition, the division has $38.5 million in
four-year expected life, after which the assets can be salvaged for $77 million. In addition, the division has $38.5 million in assets that are not depreciable. After four years, the division will have $38.5 million available from these non depreciable assets. This means that the division has invested $77 million in assets with a salvage value of $46.2 million. Annual operating cash flows are $12.5 million. In computing ROI, this division uses beginning-of-year asset values in the denominator. Depreciation is computed on a straight-line basis, recognizing the salvage values noted. Ignore taxes. Required: o. \& b, Compute ROI, using net book value and gross book value. Note: Enter your answers as a percentage rounded to 2 decimal ploce (i.e., 32.10). (x) Answer is complete but not entirely correct. The Street Division of Labrosse Logistics just started operations. It purchased depreciable assets costing $38.5 million and having a are not depreciable. After four years, the division will have $38.5 million available from these non depreciable assets. This means that computing ROI, this division uses beginning-or-year asset values in the denominator. Depreciation is computed on a straight-line basis. recognizing the salvage values noted. Ignore taxes: Required: a. \& b. Compute ROI, using net book value and gross book value. Note: Enter your answers as a percentege rounded to 2 decimol ploce (i.e., 32.10). Answer is complete but not entirely correct
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