Poe company is considering the purchase of new equipment costing $80,000. the projected annual cash inflows are $30,200, to be received at the end of each year. the machine has a useful life of 4 years and no salvage value. poe requires a 10% return on its investments. the present value of an annuity of 1 and present value of an annuity for different periods is presented below. compute the net present value of the machine. periods present valueof 1 at 10% present value of anannuity of 1 at 10%1 0.9091 0.90912 0.8264 1.73553 0.7513 2.48694 0.6830 3.1699($15,$4,896).$15,731.$4,896.$ 32,334

At the end of the week, carla receives her paycheck and goes directly to the bank after work to make a deposit into her savings account. the bank keeps the required reserve and then loans out the remaining balance to a qualified borrower named malik as a portion of his small business loan. malik uses the loan to buy a tractor for his construction business and makes small monthly payments to the bank to payback the principal balance plus interest on the loan. the bank profits from a portion of the interest payment received and also passes some of the interest back to carla in the form of an interest payment to her savings account. in this example, the bank is acting

Ann chovies, owner of the perfect pasta pizza parlor, uses 20 pounds of pepperoni each day in preparing pizzas. order costs for pepperoni are $10.00 per order, and carrying costs are 4 cents per pound per day. lead time for each order is three days, and the pepperoni itself costs $3.00 per pound. if she were to order 80 pounds of pepperoni at a time, what would be the average inventory level?

From what part of income should someone take savings?