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(Ignore income taxes in this problem. )Pal Corporation is contemplating purchasing equipment that would increase sales revenues by $438,000 per year and cash operating expenses by $258,000 per year.The equipment would cost $504,000 and have a 9 year life with no salvage value.The annual depreciation would be $56,000.
Required:
Determine the simple rate of return on the investment to the nearest tenth of a percent.Show your work!
Fear Of Communism
The apprehension and suspicion towards communist ideology and its potential spread, especially prevalent during the Cold War era.
Cold War
A period of geopolitical tension between the Soviet Union and the United States and their respective allies from the late 1940s until the end of the Soviet Union in 1991.
Friendly Witness
An individual called to testify in a legal or legislative proceeding who is expected to support the position or perspective of the party calling them.
House Committee
A subset of members within a legislative body, specialized in particular policy areas to conduct hearings and review legislation.
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