A Machine Costs $60 and Requires $35 in Maintenance for Each

question 236

Multiple Choice

A machine costs $60 and requires $35 in maintenance for each year of its three year life. After three years, this machine will be replaced. If the machine belongs in a 30% CCA class and has no
Salvage value, what is the EAC? Assume a tax rate of 34% and a discount rate of 14%.

• A) -$39.48
• B) -$43.32
• C) -$48.33
• D) -$59.13
• E) -$97.84

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Definitions:

Disorganized Behavior

Exhibiting actions that are erratic or inappropriate for the situation, often seen in schizophrenia and other psychiatric disorders.

Catatonic Behavior

a type of behavior observed in schizophrenia and some other psychiatric disorders characterized by stupor, rigidity, or unresponsiveness to the environment.

Hallucinations

Perceptions in the absence of external stimuli, such as seeing, hearing, feeling, or smelling things that aren't there, often found in psychiatric conditions or drug use.

Korsakoff Syndrome

Permanent loss of the ability to learn new information (anterograde amnesia) and to retrieve old information (retrograde amnesia) caused by diencephalic damage resulting from chronic alcoholism or malnutrition that produces a vitamin B deficiency.