Answer:
B. The payback is approximately three years
Explanation:
The computation of payback period for this equipment purchase is shown below:-
<u>Year Cash flow Cumulative cash flow</u>
0 -$600,000 -$600,000
1 $250,000 -$350,000
2 $200,000 -$150,000
($250,000 - $50,000)
3 $150,000 0
($200,000 - $50,000)
4 $100,000 $100,000
($150,000 - $50,000)
5 $50,000 $150,000
($100,000 - $50,000)
Here, Cumulative cash flow in the year o is -$600,000 and as we can see that cumulative cash flow in year 3 is 0.
Therefore the payback period lies in 3 years.
Answer:
change in demand; shift of the demand curve.
Explanation:
We know that income elasticity of demand derives by considering the percentage change in quantity demanded and percentage change in income
In mathematically,
Income elasticity of demand = (percentage change in quantity demanded) ÷ (percentage change in income)
By considering the above information, the change in income preferences is due to change in demand plus it also shift of the demand curve
Answer:
A. predictive validity.
Explanation:
The tool has predictive-validity because it can assess, or predict, out of a sample, which subjects will be depressed in the future, and which subjects will not, producing similar results to other tools that also measure depression, something that gives it credibility.
Answer: A. Sales-type lease
Explanation:
A Sales type lease is one where the present value of all the lease payments of the Asset being leased is more than the cost/ carrying amount of the Asset.
The present value of the lease Payments is the Fair Value of the asset and as seen from the question, the fair value of the asset is more than the cost of the Asset. The lease will therefore be accounted for as a Sales type lease by the lessor.
It is worthy of note that this entry affects only the lessor.