The Mathematics of Money

8.4 Depreciation The dollar value of anything that can be owned will change as time goes by. Some things, like real estate and c ...

Copyright © 2008, The McGraw-Hill Companies, Inc. Nonetheless, mathematical formulas can be useful tools for prediction, for est ...

364 Chapter 8 Mathematics of Pricing are increasing the price by a percent of a growing value; so with each passing year, the pr ...

Copyright © 2008, The McGraw-Hill Companies, Inc. each passing year, the price according to our formula will never actually reac ...

366 Chapter 8 Mathematics of Pricing FORMULA 8.4.1 Straight-Line Depreciation Rate D
IV ____UL SV where D represents the ANNU ...

Copyright © 2008, The McGraw-Hill Companies, Inc. (The slight difference between the 10th year value in the table and the residu ...

368 Chapter 8 Mathematics of Pricing worth per year. After 1 year, $475 million worth remains; after 2 years, $450 million is le ...

Copyright © 2008, The McGraw-Hill Companies, Inc. to use a 2 or 3 year “useful life” in its accounting to be able to count more ...

370 Chapter 8 Mathematics of Pricing Hang on—why does something depreciated over 5 years have depreciation percents for 6? Under ...

Copyright © 2008, The McGraw-Hill Companies, Inc. C. Straight-Line Depreciation A new refrigerator for a restaurant costs $6,00 ...

372 Chapter 8 Mathematics of Pricing c. Determine the depreciation amount for the remainder of the computers’ useful life by com ...

Copyright © 2008, The McGraw-Hill Companies, Inc. Suppose that a piece of offi ce equipment is purchased for $7,200. The useful ...

374 CHAPTER 8 SUMMARY Topic Key Ideas, Formulas and Techniques Example(s) Markup Based on Cost, p. 333 Markup based on cost for ...

Copyright © 2008, The McGraw-Hill Companies, Inc. Chapter 8 Summary 375 Topic Key Ideas, Formulas and Techniques Example(s) Tr a ...

376 Learning Objectives LO 1 Calculate the sales tax due on purchases. LO 2 Determine the price before sales tax, given the pric ...

Copyright © 2008, The McGraw-Hill Companies, Inc. 9.1 Sales Taxes Sales taxes are taxes imposed on retail sales. In the United S ...

this example is a nationwide chain that has stores in Pennsylvania, it would probably be required to collect Pennsylvania sales ...

Copyright © 2008, The McGraw-Hill Companies, Inc. Example 9.1.4 On a trip to his favorite local discount store, Jack bought a DV ...

afford to pay for the car is actually lower. What price for the car can she actually afford? How much sales tax would she then p ...

Example 9.1.8 Use the 5% sales tax table shown above to calculate the tax on a $34.74 purchase. For the 74 cents, the tax from t ...