Use the Information Below to Answer the Following Questions

question 15

Multiple Choice

Use the information below to answer the following questions.
Han Ltd supplies chilli paste to large supermarket chains. The company is currently considering scrapping its old processor and investing in a new processor. Information about the investment is as follows:
-Refer to the table above. What is the annual net cash flow in year 5?

• A) $35,000
• B) $30,000
• C) $40,000
• D) $50,000

---

Definitions:

LLP

A legal structure for a business that provides the owners with limited liability protection, typically used by professional services firms.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenues.

Capital Account Balance

The net result of public and private international investments flowing in and out of a country, representing changes in national ownership of assets.

Partnership Capital

Represents the total equity or interest that partners have in a partnership, which can be changed through additional contributions or withdrawals.