In Calculating the Payback Period Where New Equipment Is Replacing

question 134

True/False

In calculating the payback period where new equipment is replacing old equipment, any salvage value to be received on disposal of the old equipment should be deducted from the cost of the new equipment.

---

Definitions:

Basal Ganglia

A group of structures in the brain involved in the coordination of movement as well as aspects of learning and emotion.

Thalamus

A major part of the brain situated at the top of the brainstem, serving as a key relay station for sensory signals except for the sense of smell.

Limbic System

A complex system of nerves and networks in the brain, involved with instinct and mood, controlling basic emotions and drives.

Cognition

encompasses all aspects of intellectual functions and processes related to knowing, including perceiving, recognizing, conceiving, and reasoning.