If an Asset Cost $210,000 and Is Expected to Have

question 175

Multiple Choice

If an asset cost $210,000 and is expected to have a $30,000 salvage value at the end of its ten-year life, and generates annual net cash inflows of $30,000 each year, the cash payback period is

• A) 8 years.
• B) 7 years.
• C) 6 years.
• D) 5 years.

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Definitions:

Aggressive

Pertains to behavior, actions, or attitudes that are forceful, potentially harmful, or assertive in a confrontational manner.

Verbal Attack

The use of words to criticize, insult, or denigrate another person.

Admire

To regard with respect, warm approval, or deep appreciation.

Free Time

Periods when an individual has no obligations or tasks, allowing for leisure activities or rest.