LaSalle Industries is considering the purchase of a new strapping machine, which will cost
150,000, plus an additional 10,500 to ship and install.
The new machine will have a 5-year useful
life and will be depreciated to zero using the straight-line method. The machine is expected to
generate new sales of 45,000 per year and is expected to save 16,000 in labor and electrical
expenses over the next 5-years. The machine is expected to have a salvage value of 20,000.
LaSalle's income tax rate is 35. What is the machine's IRR?
A) 15.75 B) 18.86 C) 20.03 D) 19.15
Question 2
The forward-spot differential is the difference between the forward rate and the expected future
spot rate.
Indicate whether the statement is true or false
Elle and associates investigated the cost to Datura wrightii of producing sticky leaf trichomes.
Typical Startup Cost Categories Cont.
Does It Cost More to Eat Healthy?
Cost of Laptops
Ecg MACHINE
Cost = $99.49; Rate of markup based on cost = 32%. Find the markup and selling price.