Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 1. (20 points) a company bought an agv for its dis

1. (20 points) A company bought an AGV for its distribution center for $800,000 and...

50.1K

Verified Solution

Question

Accounting

image

1. (20 points) A company bought an AGV for its distribution center for $800,000 and its installation cost were $200,000. The AGV has a 5-year MACRS-GDS property class. During the 3th year the company disposes the asset with a salvage value of $550,000. The company tax rate is 40%. The BTC&LCF per year is 100,000. The company financed the total cost of the AGV with a loan at 5%, which needs to be paid in three years with the following terms: only interests are paid years 1, 2 and 3, and the principal is paid at the end of year 3. Fill the following table Year BTCF Salvage DWO Section 179 IPMT PPMT TIT A TCF BV 1. (20 points) A company bought an AGV for its distribution center for $800,000 and its installation cost were $200,000. The AGV has a 5-year MACRS-GDS property class. During the 3th year the company disposes the asset with a salvage value of $550,000. The company tax rate is 40%. The BTC&LCF per year is 100,000. The company financed the total cost of the AGV with a loan at 5%, which needs to be paid in three years with the following terms: only interests are paid years 1, 2 and 3, and the principal is paid at the end of year 3. Fill the following table Year BTCF Salvage DWO Section 179 IPMT PPMT TIT A TCF BV

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students