A Machine Costs $25,000;it Is Expected to Generate Annual Cash

question 109

Multiple Choice

A machine costs $25,000;it is expected to generate annual cash revenues of $8,000 and annual cash expenses of $2,000 for five years.The required rate of return is 12%.The net present value of the machine is:

• A)$(3,840).
• B)$(3,370).
• C)$0.
• D)$21,630.
• E)$28,840.

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Definitions:

Excitatory Postsynaptic Potential

A temporary increase in postsynaptic membrane potential due to the flow of positively charged ions into the postsynaptic cell, making it more likely to fire an action potential.

Depolarization

The reduction in the electrical charge difference across a cell's plasma membrane, leading to the initiation of an action potential.

Resting Potential

The electrical charge difference across the cell membrane while a neuron is at rest, typically around -70mV, enabling the potential for action potentials.

Action Potential

A rapid increase and subsequent decrease in voltage across a cellular membrane, allowing neurons and muscle cells to communicate and react to stimuli.