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

question 177

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 5 years is 4.212. In addition to the foregoing information, use the following data in determining the acceptability of this investment: ​
-The expected average rate of return for a proposed investment of $650,000 in a fixed asset, with a useful life of 4 years, straight-line depreciation, no residual value, and an expected total net income of $240,000 for the 4 years, is

• A)13.9%
• B)36.9%
• C)18.5%
• D)9.25%

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Definitions:

Asymmetric Carbon

A carbon atom bonded to four different groups, creating a chiral center and potentially optical activity in the molecule.

R or S

Descriptors in chemistry that indicate the absolute configuration of chiral centers in molecules, determining their spatial arrangement as right-handed (R) or left-handed (S).

Stereochemistry

The study of the spatial arrangement of atoms within molecules and its influence on the chemical and physical properties of substances.

(S)-3-chloro-3-methylhexane

A chiral compound with a specific three-dimensional arrangement around the chiral center, designated by the (S) configuration.