The Management of Wyoming Corporation Is Considering the Purchase of a New

question 2

Multiple Choice

The management of Wyoming Corporation is considering the purchase of a new machine costing $375,000. The company's desired rate of return is 6%. The present value factor for an annuity of $1 at interest of 6% for five years is 4.212. In addition to the foregoing information, use the following data in determining the acceptability of this investment:
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-The cash payback period for this investment is

• A) 4 years
• B) 5 years
• C) 20 years
• D) 3 years

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Definitions:

Planned Organizational Change

A deliberate effort to modify procedures, policies, or the structure of an organization to achieve improved effectiveness.

Goal-Oriented Change

Change that is specifically aimed at achieving certain objectives or outcomes.

Organizations

Groups of individuals structured and managed to meet a need or pursue collective goals.

Globalization

The method through which companies or various organizations gain international impact or begin functioning globally.