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dolphi86 [110]
3 years ago
7

A new manufacturing machine is expected to cost $289,000, have an eight-year life, and a $33,000 salvage value. The machine will

yield an annual incremental after-tax income of $34,000 after deducting the straight-line depreciation. Compute the payback period for the purchase.
Business
1 answer:
ziro4ka [17]3 years ago
7 0

Answer:

4.38 years

Explanation:

Data provided in the question:

Cost of the machine = $289,000

Useful life = 8 years

Salvage value = $33,000

Incremental income after deducting depreciation = $34,000

Now,

Annual depreciation = [ Cost - Salvage value ] ÷ Useful life

= [ $289,000 - $33,000 ] ÷ 8

= $32,000

Thus,

Net Annual cash flow = Incremental income + Annual depreciation

= $34,000 + $32,000

= $66,000

Therefore,

Payback period = Cost ÷ ( Net Annual cash flow )

= $289,000 ÷ $66,000

= 4.38 years

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Bentley will likely use the firm's <u>CRM databases</u> to identify these customers.

<u>Explanation</u>:

CRM databases collect information about the customers. It can be used to identify the best customers. The database stores the annual sales report.

CRM is a customer relationship management that manages the interaction between company and customers.

CRM database holds all the data related to the customers like their name, email address, age, Skype address and occupation details.

In the above scenario, Bentley can use CRM database to filter twenty valuable building contractor customers and invite them for golf outing and party.

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3 years ago
Macroland, currency held by the public is 2,000 econs, bank reserves are 300 econs, and the required reserve/deposit ratio is 10
I am Lyosha [343]

Answer:

D)5,000; 7,000

Explanation:

Public is holding 2000 econs and banks reserves are 300 econs. It is mentioned that reserve requirement is 10%.

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If there is an additional inflow of currency because of printing 200 econs by central bank then because of multiplier effect it will be 2000 econs.

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Option D is correct.

7 0
3 years ago
In an effort to increase customer loyalty, management at Phat International has worked to create a personaldialogue with their c
IRISSAK [1]

Answer: Relationship Marketing

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Phat International is making use of dialogue with their customers to create more loyal customers which is a form of relationship marketing.

3 0
3 years ago
Once stimuli are in the brain, they are processed by what?
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Processed by the cerebral cortex only
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Refer to the accompanying balance sheet for the First National Bank. Assume the reserve ratio is 15 percent. If a check for $20,
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The answer is b $15,000
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