Gull Corp is considering selling its old popcorn machine and replacing it with a newer one. The old machine originally cost $5,000 and has been fully depreciated. Annual costs are $4,000. A high school is willing to buy it for $2,000. New equipment would cost $18,000 and annual operating costs would be $1,500. Both machines have an estimated useful life of 5 years
A) Stay with the old equipment $3,500 less in net costs
B) Purchase the new equipment $3,500 cost savings
C) Purchase the new equipment - deduction in costs $14,500
D) Stay with the old equipment - cost savings of $2,000
A
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The ________________________________________ ratio indicates the number of times that net income before interest expense and income taxes exceeds interest expense
Fill in the blank(s) with correct word
(CMA adapted, Jun 90 #18) Regarding the data for Ramer and Matson Company, if a company is profitable and is effectively using leverage, which one of the following ratios is likely to be the largest?
a. return on total assets b. return on operating assets c. return on common equity d. return on investment e. none of the above
Israel has a reputation for putting the needs of his clients above his need to make money. He demonstrates which AICAPA professional standard?
A. responsibilities B. serve the public interest C. integrity D. due care
Schuler and Jackson (1987) suggest that the aim of HR strategy is to develop which of the following in order to enact a particular competitive strategy:
a. make b. buy c. acquire d. purchase