Bau Long-Haul, Inc., is considering the purchase of a tractor-trailer that would cost $281,656, would have a useful life of 7 years, 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 $76,000 per year. The internal rate of return on the investment in the tractor-trailer is closest to (Ignore income taxes.):Refer to Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided.
A. 19%
B. 18%
C. 16%
D. 21%
Answer: A
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Which of the following is not an advantage of commercial software? Commercial software
a. can be installed faster than a custom system b. can be easily modified to the user's exact specifications c. is significantly less expensive than a system developed in-house d. is less likely to have errors than an equivalent system developed in-house
Activity-based costing first assigns costs to products and then uses these product costs to assign costs to manufacturing activities.
Answer the following statement true (T) or false (F)
The two basic types of sampling that marketing researchers use are
A. random and nonrandom. B. probability and nonprobability. C. stratified and quota. D. even and odd. E. planned and spontaneous.
Employees earn vacation pay at the rate of one day per month. During the month of June, 10 employees qualify for one vacation day each. Their average daily wage is $150 per day. Which of the following is the necessary adjusting journal entry to record the June vacation benefits?
A. Debit Prepaid Vacation Benefits $1,500; credit Vacation Benefits Payable $1,500. B. Debit Vacation Benefits Expense $1,500; credit Vacation Benefits Payable $1,500. C. Debit Vacation Benefits Expense $1,500; credit Prepaid Vacation Benefits $1,500. D. Debit Payroll Tax Expense $1,500; credit Payroll Taxes Payable $1,500. E. Debit Vacation Benefits Payable; credit Vacation Benefits Expense $1,500.