Reference: 10-02
Oriental Company Has Gathered the Following Data on a Proposed

question 95

Multiple Choice

Reference: 10-02
Oriental Company has gathered the following data on a proposed investment project: $$\begin{array} { | l | l | } \hline \text { Investment in depreciable equipment } & \$ 200,000 \\\hline \text { Annual net cash flows } & \$ 50,000 \\\hline \text { Life of the equipment } & 10 \text { years } \\\hline \text { Salvage value } & \$ 20 \\\hline \text { Discount rate } & 10 \% \\\hline\end{array}$$ The company uses straight-line depreciation on all equipment.
-The payback period for the investment is closest to:

• A)5.0 years.
• B)3.0 years.
• C)1.0 years.
• D)0.2 years.

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Definitions:

Quality of Work Life (QWL)

The degree to which employees enjoy their jobs, work environment, and working conditions, aiming for higher job satisfaction and well-being.

Human Resource Utilisation

The effective and efficient use of the workforce in an organization through strategies that enhance productivity and ensure employees' skills are aptly matched with job requirements.

Economic Times

A general term that can refer to the current state of the economy, often used to discuss economic conditions or a newspaper covering economic news.

Functional Manager

A manager responsible for a specific department or function within an organization, such as finance, marketing, or operations.