Baldock Inc

question 30

Multiple Choice

Baldock Inc. is considering the acquisition of a new machine that costs $420,000 and has a useful life of 5 years with no salvage value. The incremental net operating income and incremental net cash flows that would be produced by the machine are: Assume cash flows occur uniformly throughout a year except for the initial investment. The payback period of this investment is closest to:

• A)5.0 years
• B)3.2 years
• C)1.9 years
• D)2.8 years

---

Definitions:

Older Brothers

Male siblings who are born before another child in the family, often playing significant roles in the dynamics and socialization of younger siblings.

Older Sisters

Female siblings who are born before another child in the family, often playing significant roles in the socialization and care of younger siblings.

Collectivist

A person who defines herself or himself in terms of relationships to other people and groups and gives priority to group goals.

Individualist

A person who defines herself or himself in terms of personal traits and gives priority to her or his own goals.