Cleveland Cove Enterprises Is Evaluating the Purchase of an Elaborate

question 2

Multiple Choice

Cleveland Cove Enterprises is evaluating the purchase of an elaborate hydraulic lift system for all of its locations to use for the boats brought in for repair. The company has narrowed their choices down to two: the B14 Model and the F54 Model. Financial data about the two choices follows. Using the net present value model, which alternative should the company select?
Present Value of $1
Present Value of Annuity of $1

• A)Neither investment should be selected.
• B)The B14 Model should be selected.
• C)Both investments should be selected.
• D)The F54 Model should be selected.

---

Definitions:

Vicarious Reinforcement

Learning that occurs through observing the consequences of another person's actions and then modifying one's own behavior.

Manipulating

In psychology, refers to influencing or controlling others in a skillful but often unfair or deceitful way.

Self-efficacy

A rephrased definition: The confidence in one's own ability to achieve desired outcomes through one's actions.

Life Events

Significant occurrences or changes in a person's life that can have a profound impact on their behavior and mental health.