Queue De Castor Foods Is Considering the Purchase of a New

question 82

Multiple Choice

Queue de Castor Foods is considering the purchase of a new capital asset for $35,000.The asset has an economic life of three years,a CCA rate of 20 percent,and expected salvage value of $5,000.The project also requires an investment in net working capital of $4,500.Assume the asset class remains open after the asset is sold.The firm's cost of capital is 14 percent and marginal tax rate is 40 percent.What is the present value of the terminal after-tax cash flow?

• A) $2,319.20
• B) $6,412.23
• C) $9,900.48
• D) $10,505.26

---

Definitions:

Perceived Performance

An individual's perception of how well a product or service meets their expectations and needs.

Onsite Endorsement

A form of marketing and promotion where products or services are endorsed directly at the point of sale or service delivery.

Facebook 'Like'

A feature on Facebook that allows users to express their approval or support for content such as posts, comments, photos, and advertisements.

Simple Buttons

Basic interface elements that allow users to perform an action or make a selection with a single click or tap.