Which of the following is not a form of bad faith bargaining?

A. Surface bargaining
B. Forcing tactics
C. Direct dealing
D. Unilateral change


Answer: B

Business

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Pet World is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR can be less than the cost of capital (and even negative), in which case it will be rejected. Year0 1 2 3 4 5 Cash flows?$9,500 $2,000 $2,025 $2,050 $2,075 $2,100

A. 2.08% B. 2.31% C. 2.57% D. 2.82% E. 3.10%

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Your new employer, Freeman Software, is considering a new project whose data are shown below. The equipment that would be used has a 3-year tax life, and the allowed depreciation rates for such property are 33.33%, 44.45%, 14.81%, and 7.41% for Years 1 through 4. Revenues and other operating costs are expected to be constant over the project's 10-year expected life. What is the Year 1 cash flow? Equipment cost (depreciable basis)$65,000 Sales revenues, each year$60,000 Operating costs (excl. deprec.)$25,000 Tax rate25.0%

A. $31,666 B. $31,849 C. $33,442 D. $35,114 E. $36,869

Business