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melisa1 [442]
3 years ago
8

Bau Long-Haul, Inc., is considering the purchase of a tractor-trailer that would cost $432,605, would have a useful life of 7 ye

ars, and would have no salvage value. The tractor-trailer would be used in the company's hauling business, resulting in additional net cash inflows of $77,500 per year. The internal rate of return on the investment in the tractor-trailer is closest to (Ignore income taxes.):____.
a. 15%.
b. 54%.
c. 17%.
d. 12%.
Business
1 answer:
Alisiya [41]3 years ago
3 0

Answer:

6%

Explanation:

The computation of the internal rate of return is shown below:

We know that

Initial investment = Annual cash inflows × PVIFA factor (rate,nper)

$432,605 = $77,500 × PVIFA(rate,7)

PVIFA(rate,7) = $432,605 ÷ $77,500

PVIFA (rate,7) = 5.582

Now we use the PVIFA table

So here the rate that should be considered is 6%

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6 0
2 years ago
Define black hole.......​
larisa [96]

Answer:

hope this helps

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A black hole is a place in space where gravity pulls so much that even light can not get out.

8 0
3 years ago
One key role of marketing is ______
andre [41]

Answer:

3. Looking outward by listening to customers

Explanation:

This particular role assist in retaining customers by creating new opportunities to win customer loyalty and business.

8 0
3 years ago
Cobe Company has already manufactured 17,000 units of Product A at a cost of $20 per unit. The 17,000 units can be sold at this
AlexFokin [52]

Answer:

differential analysis:

                         No further process      Process further         Differential

                                                                                                 amount

Sales revenue            $410,000                $1,213,400             $803,400

Production costs     ($340,000)               ($580,000)           ($240,000)

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3 years ago
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Answer:

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The Cost Performance Index or CPI measures the projected cost of work completed compared to the current cost spent. The CPI represents a ratio of earned value to actual cost. If the CPI is greater than one, the project is under budget. When the CPI equals one the planned and actual costs are equal. If the CPI is higher than one, the project is over budget.

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