Which of the Following Items Is Not Included as a Cash

question 57

Multiple Choice

Which of the following items is not included as a cash flow in the decision to purchase a new capital asset to replace an old one?

• A)Depreciation on the new machine
• B)Sales tax
• C)Installation cost of the new machine
• D)Salvage value of the old machine

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Definitions:

Bundle

A combination of goods or services that are consumed together.

Price of X

The amount of money required to purchase a specific product or service, denoted as 'X'.

Price of Y

This generally refers to the cost required to purchase a specific item or commodity denoted as "Y".

Income

Funds acquired regularly as a result of work or investment ventures.