Refer to the Data Provided in Table 11 -Refer to Table 11

question 107

Multiple Choice

Refer to the data provided in Table 11.2 below to answer the following question(s) .
Table 11.2 $$\begin{array}{l}\begin{array} { l c c } &\text { Total Investment }&\text {Expected Rate of Return }\\ { \text { Project } } & \text { (dollars) } & \text { (percentage) } \\\hline \text { New bookkeeping software } & \$ 150,000 & 5 \\\text { New tractor } & \$ 200,000 & 12 \\\text { New grain storage tanks } & \$ 250,000 & 10 \\\text { Irrigation system } & \$ 500,000 & 15 \\\hline\end{array}\end{array}$$
-Refer to Table 11.2. If the interest rate is 11%, then the farmer will only

• A) buy the bookkeeping software.
• B) buy the bookkeeping software and the grain storage tanks.
• C) buy the tractor and the irrigation system.
• D) buy the tractor.

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