The lemond corporation just purchased a new production line. assume that the firm planned to depreciate the equipment over 5 years on a straight-line basis, but congress then passed a provision that requires the company to depreciate the equipment on a straight-line basis over 7 years. other things held constant, which of the following will occur as a result of this congressional action? assume that the company uses the same depreciation method for tax and stockholder reporting purposes. a. lemond's tax liability for the year will be lower. b. lemond's taxable income will be lower. c. lemond's net fixed assets as shown on the balance sheet will be higher at the end of the year. d. lemond's cash position will improve (increase).e. lemond's reported net income after taxes for the year will be lower.

Your subscription to investing wisely weekly is about to expire. you plan to subscribe to the magazine for the rest of your life, and you can renew it by paying $85 annually, beginning immediately, or you can get a lifetime subscription for $620, also payable immediately. assuming that you can earn 6.0% on your funds and that the annual renewal rate will remain constant, how many years must you live to make the lifetime subscription the better buy?

An attorney came to work on a saturday. when he signed in, he was advised by the morning security guard employed by the building management that he must be out of the building by 5 p.m., when it closes. however, he stayed past 5 p.m. to complete a brief that had to be filed on monday morning. at 5: 15 p.m., the afternoon security guard set the locks on all the doors of the building and left. because she was in a hurry, she did not check the sign-in sheet to make sure that everyone had signed out, contrary to mandatory procedures. when the attorney tried to exit 15 minutes later, he discovered that the doors were all locked and could not be opened from the inside. he used his cell phone to call for , and a supervisor from the building arrived and let him out shortly thereafter. if the attorney sues the building management for false imprisonment, is he likely to win?

Kim davis is in the 40 percent personal tax bracket. she is considering investing in hca(taxable) bonds that carry a 12 percent interest rate. what is her after- tax yield(interest rate) on the bonds?