The December 31, 2021, post-closing trial balance for Strong Corporation is presented below: Accounts Debit Credit Cash $ 22,300 Accounts receivable 23,300 Prepaid insurance 4,800 Supplies 180,000 Long-Term Investments 57,000 Land 49,000 Buildings 272,000 Accumulated depreciation 88,000 Accounts payable 37,100 Notes payable, due 2022 68,000 Interest payable 15,000 Notes payable, due 2031 122,000 Common stock 160,000 Retained earnings 118,300 Totals $ 608,400 $ 608,400 Prepare a classified balance sheet for Strong Corporation at December 31, 2021.

Burke enterprises is considering a machine costing $30 billion that will result in initial after-tax cash savings of $3.7 billion at the end of the first year, and these savings will grow at a rate of 2 percent per year for 11 years. after 11 years, the company can sell the parts for $5 billion. burke has a target debt/equity ratio of 1.2, a beta of 1.79. you estimate that the return on the market is 7.5% and t-bills are currently yielding 2.5%. burke has two issuances of bonds outstanding. the first has 200,000 bonds trading at 98% of par, with coupons of 5%, face of $1000, and maturity of 5 years. the second has 500,000 bonds trading at par, with coupons of 7.5%, face of $1000, and maturity of 12 years. kate, the ceo, usually applies an adjustment factor to the discount rate of +2 for such highly innovative projects. should the company take on the project?

You are evaluating two different silicon wafer milling machines. the techron i costs $285,000, has a three-year life, and has pretax operating costs of $78,000 per year. the techron ii costs $495,000, has a five-year life, and has pretax operating costs of $45,000 per year. for both milling machines, use straight-line depreciation to zero over the project’s life and assume a salvage value of $55,000. if your tax rate is 24 percent and your discount rate is 11 percent, compute the eac for both machines.

Which of these is an example of innovation?