Xon Company Is Planning to Purchase Fixed Assets at a Cost

question 12

Multiple Choice

Xon Company is planning to purchase fixed assets at a cost of $200,000. The planned delivery date is 1st February 2018. A deposit of $20,000 is to be paid on 1/11/17. The amount that will appear in the cash budget for November 2017 is:

• A)$190,000 outflow.
• B)$200,000 outflow.
• C)$20,000 outflow.
• D)$20,000 inflow.

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Definitions:

Slip

The difference between the synchronous speed of an induction motor's magnetic field and the actual speed of the rotor, expressed as a percentage.

Voltage

The electrical potential difference or force that causes current to flow in a circuit.

Magnetic Flux

Magnetic flux refers to the measure of the quantity of magnetism, considering the strength and the extent of a magnetic field.

Pole Polarity

Refers to the magnetic polarity (north or south) of the poles in a magnetic field, crucial in the functioning of electric motors and generators.