Technician a Says That One Reason OEMs Have Eliminated the Initial

question 42

Multiple Choice

Technician A says that one reason OEMs have eliminated the initial (break-in) lube drain on a new or rebuilt differential carrier is improved machining precision of current geartrain components.Technician B says that because synthetic gear lubes have superior ability to suspend abrasive contaminants,OEMs no longer require a break-lube change.Who is correct?

• A) Technician A only
• B) Technician B only
• C) Both A and B
• D) Neither A nor B

Evaluate the financial attractiveness of investments considering different aspects like intangible benefits, tax implications, renovation costs, and depreciation.

Apply correct discount factors to cash flows based on project life and discount rate.

Make investment decisions based on calculated NPV, payback period, and simple rate of return values.

Forecast future cash inflows and outflows associated with investment projects.

---

Definitions:

Financing Activities

Activities that result in changes in the size and composition of the equity capital or borrowings of a company.

Direct Method

A cash flow statement preparation approach where actual cash flow information from the company's operations is used, as opposed to indirect methods which adjust net income.

Sales Adjusted

The revised value of sales after accounting for returns, allowances, and discounts.

Cash Basis

A financial recording technique that acknowledges income and expenditures solely upon the actual exchange of cash.