Use the Following Information to Answer the Next Question(s)

question 57

Multiple Choice

Use the following information to answer the next question(s) .
Sunny Flowers is considering the purchase of a small business that costs $500,000. Sunny plans to sell stock valued at $250,000. The stock would pay dividends of $20,000 per year. Sunny would borrow the remaining $250,000 from a local bank at 12 percent interest.
The business is expected to generate annual cash inflows of $80,000. Duane plans to operate the business for 15 years and then turn it over to his son.
-The amount of the capital cost allowance for the second year for Mike Manufacturing would be

• A) $3,000.
• B) $6,000.
• C) $5,100.
• D) $3,500.

Understand the geometric layout and design principles for bevel gears.

Recognize the equations and methods for calculating gear specifications such as pitch, addendum, and dedendum.

Interpret technical drawings and notation specific to gear design and manufacturing.

Understand the liabilities and responsibilities of banks in various scenarios involving bounced checks, postdated checks, and stop-payment orders.