Propell Inc

question 86

Multiple Choice

Propell Inc.is considering the purchase of a new machine that will cost $178,000,plus an additional $12,000 to ship and install.The new machine will have a 5-year useful life and will be depreciated using the straight-line method.The machine is expected to generate new sales of $85,000 per year and is expected to increase operating costs by $10,000 annually.Propell's income tax rate is 40%.What is the projected incremental cash flow of the machine for year 1?

• A) $54,800
• B) $60,200
• C) $66,350
• D) $68,200

---

Definitions:

Equilibrium

A state of balance or stability within various aspects of the natural world or human physiology and psychology.

Intimate Partner Violence

Abuse or aggression that occurs in a romantic relationship, encompassing physical, sexual, emotional, economic, or psychological actions or threats.

Crisis Intervention Strategies

Techniques aimed at providing immediate, short-term help to individuals experiencing a mental health crisis.

Sexual Abuse

Involves forcing or coercing someone into unwanted sexual activity without their consent.