A machine that costs $280,000 would be depreciated using the straightline method by a leasing firm over a period of 3 years. Both the book value and the market value would be zero at the end of the 3 years. Both the lessor and the lessee have a tax rate of 21 percent. What is the NPV of the lease relative to the purchase to the lessor if the applicable pretax cost of borrowing is 7 percent and the lease payments are set at $102,100 annually for 3 years?
A) ?$1,025.58
B) ?$9,658.92
C) $411.67
D) $882.09
E) $0
B) ?$9,658.92
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Which of the following is NOT a disadvantage of secondary data?
A) the objectives, nature, and methods used to collect the secondary data may not be appropriate to the present situation. B) secondary data may be lacking in accuracy. C) secondary data collection may be expensive and time consuming. D) secondary data may not be completely current or dependable.
Electronic forms are growing at a faster rate nowadays than are paper based forms
Indicate whether the statement is true or false.
A bond's interest payments are determined by multiplying the bond's principal amount by the coupon rate.
Answer the following statement true (T) or false (F)
The U.S. law granting trade preferences to imports from the island nations of the Caribbean and Central America is called:
A) The Caribbean GSP Act
B) The Latin American Free Trade Act.
C) The Lome Convention.
D) The Caribbean Basin Economic Recovery Act.