Cheryl Peck Purchased a Computer Network for Her Classroom

question 24

Multiple Choice

Cheryl Peck purchased a computer network for her classroom.The computer network cost $100,000.She estimates that she can charge $500 for one session in the classroom.Cheryl knows that enrollment will increase over time.She estimates 50 students the first year,75 students the second year,100 students the third year,and 150 students the fourth year.If her cost of capital is 16 percent,what is the approximate profitability index?

• A)1)88
• B)1)08
• C)1)19
• D)1)23

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Definitions:

WTO

The World Trade Organization, an international body that oversees global trade rules among nations, aiming to ensure trade flows as smoothly, predictably, and freely as possible.

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The site of a 1989 pro-democracy protest in Beijing, China, which was forcibly suppressed by the government leading to significant loss of life and international condemnation.

Student Protesters

Individuals, often university or college students, who actively demonstrate or voice opposition to policies, actions, or societal issues.

Democracy

A form of government in which power is vested in the people, who rule either directly or through freely elected representatives.