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IRINA_888 [86]
3 years ago
14

The management of Ro Corporation is investigating automating a process. Old equipment, with a current salvage value of $11,000,

would be replaced by a new machine. The new machine would be purchased for $243,000 and would have a 9 year useful life and no salvage value. By automating the process, the company would save $69,000 per year in cash operating costs. The simple rate of return on the investment is closest to (Ignore income taxes.): Multiple Choice a. 18.1% b. 11.1% c. 28.4% d. 17.3%
Business
1 answer:
Anna35 [415]3 years ago
5 0

Answer:

The simple rate of return on the investment is closest to a. 18.1%

Explanation:

Assuming that the company uses straight-line depreciation method, Depreciation Expense per year is calculated by following formula:

Depreciation Expense = (Cost of machine − Salvage Value)/Useful Life  = ($243,000 - 0)/9 = $27,000

If Ro Corporation uses the new machine, the company would save $69,000 per year in cash operating costs. Net income from the machine per year = $69,000 - $27,000 = $42,000

Total investment on the machine = $243,000 - $11,000 = $232,000

Return on investment (ROI) = Net income/Total investment  x 100% = $42,000/$232,000 x 100% = 18.1%

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Jobisdone [24]

Answer:

D) Adults do not contract influenza primarily from children who have influenza.

Explanation:

The conclusion from this argument is that there is no health benefit for the nasal spray vaccine since it was designed to be administered to children, but children rarely get influenza.

The only assumption that strengthens this conclusion is that children do not pass influenza to adults.

  • If this is true, plus the fact that children rarely get influenza, then why would anyone need an influenza vaccine for children.
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7 0
3 years ago
Maya, who lives in California, just purchased her first home at a Trustee’s foreclosure sale. She was given a deed at the sale.
nevsk [136]

Answer:  Trustee's Deed

                             

Explanation: A trust deed in immovable property in the Americas refers to a legal instrument used to develop a significant stake in the immovable property under which legal title in capital assets is diverted to a trustee holding that as security for such a loan between a creditor and perhaps a lender.

From the perspective of the investor, a document of trust has a vital benefit as compared to a mortgage. If a borrower fails to pay on the loan, on part of the lender, the trustee has the right to repossess the land. Thus, from the above we can conclude that Maya would have been given a trustee's deed.

7 0
3 years ago
The year-end adjusted trial balance of Hilltoppers Corporation included the following account balances: Cash, $3,600; Equipment,
Galina-37 [17]

Answer:

Explanation:

The preparation of the post-closing trial balance is presented below:

                                        Hilltoppers Corporation

                                     Post-closing trial balance

Particulars                                      Debit                        Credit  

Service revenue                                                               $14,600  

Cash                                               $3,600

Accounts Payable                                                           $1,600

Utilities expense                            $2,600

Salaries expense                           $9,600

Equipment                                      $15,600

Common stock                                                                 $12,000

Retained earnings                                                            $4,400

Dividend                                         $1,200                                    

Total                                               $32,600                     $32,600

4 0
3 years ago
Buchi owns several financial instruments: stocks issued by seven different companies, plus bonds issued by four different compan
denpristay [2]

If Buchi owns several financial instruments: stocks issued by seven different companies, plus bonds issued by four different companies, her investments are best described as a PORTFOLIO

A range of investments owned by an individual is termed a portfolio.

For instance, when an individual owns different stocks, bonds, and businesses in diverse companies, such an individual is known to have a portfolio.

Portfolios are important for long-term financial goals even though the returns on such portfolios are not immediate.

According to the question, if Buchi owns several financial instruments: stocks issued by seven different companies, plus bonds issued by four different companies, her investments are best described as a PORTFOLIO

Learn more here: brainly.com/question/24598517

7 0
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The holding period return​ (HPR) of​ one's portfolio should be compared to investment goals
Mariulka [41]

Answer:

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<u>Statement (III) </u>is true as a result of it is sensible to isolate funds they need undesirable returns or an excessive amount of association with alternative investments

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