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dalvyx [7]
2 years ago
15

Heather Company is considering the acquisition of a machine that costs $360,000. The machine is expected to have a useful life o

f 6 years, a negligible residual value, an annual cash flow of $120,000, and annual operating income of $83,721.
What is the estimated cash payback period for the machine?A. 5 yearsB. 2.5 yearsC. 4.3 yearsD. 3 years

Business
1 answer:
Angelina_Jolie [31]2 years ago
6 0

Answer:

3 years

Explanation:

The cash payback period measures how long it takes for the amount invested in a project to be recouped from cumulative cash flows.

Explanations on how the payback period is calculated can be found in the attached image.

Please contact me if you need clarification.

I hope my answer helps you.

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Japan has increased the price of rice imported from the united states through a tax on american rice. this is a form of
JulsSmile [24]
This tax is a tariff
7 0
3 years ago
What is the expected return if a firm has a payout ratio of 0.4, a return on equity of 25%, and a dividend yield of 6%
Varvara68 [4.7K]

Answer:

21%

Explanation:

We can calculate the expected return of a firm by add dividend yield and growth rate but in this question, the growth rate is not given therefore we will find growth rate first with the available data

DATA

Payout ratio = 0.4

Return on equity = 25%

Dividend yield = 6%

Solution

Growth rate = Return on equity x retention ratio

Growth rate = Return on equity x (1 - payout ratio)

Growth rate = 25% x (1-0.4)

Growth rate = 25% x 0.6

Growth rate = 15%

Expected return = Dividend yield + growth rate

Expected return = 6% + 15%

Expected return = 21%

6 0
2 years ago
Mark is an excellent cook. He does not have any formal training but learned to cook by following the recipes of several famous c
soldi70 [24.7K]

Answer:

d.) laissez-faire

Explanation:

Laissez-faire is one of Adam Smith's ideas which made Mark think of starting a restaurant because the business is free from government intervention. Also because Mark would be the sole owner of the business.

8 0
3 years ago
Read 2 more answers
Martha worked for a marketing company with a casual atmosphere and informal culture. The company declared bankruptcy. Martha can
Elis [28]

Answer: Practical intelligence

Explanation: In simple words, practical intelligence refers to the ability of an individual to shape and fit itself according to the demands of the environment.

In the given case, Martha worked with a company  that had a casual and open atmosphere. But after joining employment in a bank she herself understood that different attitude will be needed there to work. She herself adjusted her personality and dressing  as per the demand of the environment.

Hence from the above we can conclude that she is exhibiting practical intelligence.

7 0
3 years ago
Cogswell cola purchased a machine for $237,500. The firm paid another $5,750 for delivery and installation. In addition the firm
Novay_Z [31]

Based on the cost of purchasing the machine and the delivery and installation fees, the initial outlay is $243,250

<h3>How much is the initial outlay?</h3>

This can be found as:

= Cost of purchasing machine + Installation and delivery cost

Solving gives:

= 237,500 + 5,750

= $243,250

Find out more on fixed asset capitalization at brainly.com/question/25355478

#SPJ1

3 0
2 years ago
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