Question

A foregone cashflow that is a result of an asset being used for a specific project...

A foregone cashflow that is a result of an asset being used for a specific project (e.g., rent from a warehouse that is instead used to store a new product) is called:

Erosion

Sunk cost

Opportunity cost

Salvage value

Financing cost

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Proper explanation is provided.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Problem 10-8 Calculating Salvage Value [LO1] An asset used in a four-year project falls in the...
Problem 10-8 Calculating Salvage Value [LO1] An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $5,000,000 and will be sold for $1,500,000 at the end of the project. If the tax rate is 24 percent, what is the aftertax salvage value of the asset? Refer to Table 10.7. (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, e.g., 1,234,567.) Aftertax...
A capital budgeting project is being considered for implementation. The asset is a 3-year MACRS class...
A capital budgeting project is being considered for implementation. The asset is a 3-year MACRS class asset with a four-year project life. The cost of the asset, and the first year revenue and operating cost projections are provided in the table below: Price of Asset $280,000.00 Freight / Installation $20,000.00 Depreciation Schedule: Year 1 $99,000.00 Year 2 $135,000.00 Year 3 $45,000.00 Year 4 $21,000.00 Salvage Value $30,000.00 Increase in NWC $25,000.00 Revenues from project $260,000.00 Operating Costs (excluding depreciation) $115,000.00...
An asset used in a four-year project falls in the five-year MACRS class (MACRS Table) for...
An asset used in a four-year project falls in the five-year MACRS class (MACRS Table) for tax purposes. The asset has an acquisition cost of $7,500,000 and will be sold for $1,740,000 at the end of the project. If the tax rate is 22 percent, what is the aftertax salvage value of the asset? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
An asset used in a four-year project falls in the five-year MACRS class for tax purposes....
An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $6,110,000 and will be sold for $1,310,000 at the end of the project. If the tax rate is 21 percent, what is the aftertax salvage value of the asset? Refer to Table 8.3. (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to 2 decimal places, e.g., 1,234,567.89.)
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes....
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes. The asset has an acquisition cost of $8,300,000 and will be sold for $1,960,000 at the end of the project. If the tax rate is 22 percent, what is the aftertax salvage value of the asset? Refer to (MACRS schedule) (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567)
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes....
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes. The asset has an acquisition cost of $8,300,000 and will be sold for $1,960,000 at the end of the project. If the tax rate is 22 percent, what is the aftertax salvage value of the asset? Refer to (MACRS schedule) (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567)
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes....
An asset used in a 4-year project falls in the 5-year MACRS class for tax purposes. The asset has an acquisition cost of $9,000,000 and will be sold for $2,520,000 at the end of the project. If the tax rate is 24 percent, what is the aftertax salvage value of the asset? Refer to (MACRS schedule) (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567)
An asset used in a four-year project falls in the five-year MACRS class for tax purposes....
An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $7,300,000 and will be sold for $1,640,000 at the end of the project. If the tax rate is 35 percent, what is the after tax salvage value of the asset?
An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for...
An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for tax purposes. The asset has an acquisition cost of $11,160,000 and will be sold for $2,480,000 at the end of the project. If the tax rate is 25 percent, what is the aftertax salvage value of the asset?
An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for...
An asset used in a 4-year project falls in the 5-year MACRS class (MACRS Table) for tax purposes. The asset has an acquisition cost of $15,480,000 and will be sold for $3,440,000 at the end of the project.    If the tax rate is 24 percent, what is the aftertax salvage value of the asset?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT