Darla owns a dress shop called darla's darling dresses. during the past year, darla traded her current location for a building a little farther out of town. her current location had an original cost of $150,000 and a fair market value of $225,000 at the time she traded it. depreciation on the facility totaled $37,500. darla received a building and lot worth $200,000 and cash of $25,000 in the exchange. she paid sales commissions to the real estate broker of $10,000. darla's amount realized on the sale is $ and the adjusted basis in the assets sold is $ producing a realized on the sale of $

Problem 9-5. net present value and taxes [lo 1, 2] penguin productions is evaluating a film project. the president of penguin estimates that the film will cost $20,000,000 to produce. in its first year, the film is expected to generate $16,500,000 in net revenue, after which the film will be released to video. video is expected to generate $10,000,000 in net revenue in its first year, $2,500,000 in its second year, and $1,000,000 in its third year. for tax purposes, amortization of the cost of the film will be $12,000,000 in year 1 and $8,000,000 in year 2. the company’s tax rate is 35 percent, and the company requires a 12 percent rate of return on its films. required what is the net present value of the film project? to simplify, assume that all outlays to produce the film occur at time 0. should the company produce the film?

Bell’s database has been hacked and sensitive information has been compromised to its competitors leading to loss suffered by it. which insurance would cover this loss?

Suppose you own a bicycle but haven't found the time to ride it much lately. these days, it is only worth $25 to you. one of your close friends, who recently got a job at the college bookstore two miles down the road, wants to take it off your hands. he offers you $70 for the bicycle, and you gladly accept. your friend is also happy because he thinks the bicycle is worth $95 . how much total value was created from this trade? $