Your Firm Is Considering Either Leasing or Buying Some New

question 38

Multiple Choice

Your firm is considering either leasing or buying some new equipment.The lessor will charge $13,800 a year for 4 years should you decide to lease.The purchase price is $47,800.The equipment has a 4-year life after which it is expected to have a resale value of $8,400.Your firm uses straight-line depreciation,borrows money at 10 percent,and has a 33 percent tax rate.What is the aftertax salvage value of the equipment?

• A)$5,544
• B)$5,628
• C)$5,709
• D)$5,748
• E)$5,820

Identify behaviors that contribute to a professional demeanor in various workplace situations.

Learn techniques for using voice effectively in communication.

Appreciate the impact of professionalism on team dynamics and individual career progression.

Recognize the role of digital professionalism in today’s workplace.

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Definitions:

Policy's Coverage

Refers to the range of protection provided by an insurance policy against various risks or losses.

Defense Against Payment

A legal strategy employed to withhold payment until specific conditions are met or discrepancies are resolved.

Insurance Company

A financial institution that provides coverage by compensating for losses in exchange for premium payments.

Ordinary Action

A common or standard legal action or lawsuit pursued through the regular judicial process to address a grievance or dispute.