A Firm Is Considering Investing in a New Machine That

question 28

Multiple Choice

A firm is considering investing in a new machine that will cost $600,000 and will be be under asset class 43 with a CCA rate of 30%.If the firm's marginal tax rate is 39%,what is the CCA tax shield in the first year?

• A)$120,000
• B)$35,100
• C)$300,000
• D)$234,000
• E)$90,000

Appreciate the significance of ethical considerations in organizational politics and influence processes.

Understand the consequences of political behavior for individuals and organizations, including promotion opportunities and job security.

Identify strategies for workers to effectively manage and navigate organizational politics.

Understand the distinctions between social and cultural animals, including their behaviors and characteristics.

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Definitions:

Availability Heuristic

A cognitive shortcut that depends on the first examples that spring to mind when considering a particular subject, idea, approach, or choice.

Confirmation Bias

The disposition to seek, grasp, esteem, and recount information that confirms existing preconceptions or theories.

Belief Perseverance

The phenomenon where people hold onto their beliefs even when faced with evidence that contradicts or disproves them.

Heuristics

Mental shortcuts or rules of thumb that simplify decision making by reducing complex problem solving to simpler judgment processes.