A Used Machine with a Purchase Price of $75 000,requiring

question 20

Multiple Choice

A used machine with a purchase price of $75 000,requiring an overhaul costing $8000,installation costs of $4000 and testing costs of $2000,would have a cost basis of:

• A) $75 000.
• B) $83 500.
• C) $87 000.
• D) $89 000.

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Definitions:

Direct Foreign Investment

An individual or company from one nation investing in business interests or assets in a different country, which includes starting up operations or buying business holdings.

International Finance Corporation

A member of the World Bank Group focused on private-sector development in less developed countries.

Infrastructure Loans

Financial borrowing intended for the construction, improvement, or maintenance of essential public works like roads, bridges, and utilities.

Tariffs

Taxes imposed on imported goods, typically to protect domestic industries, raise revenue, or regulate trade.