subject
Business, 23.04.2020 23:34 yrkfred1440

North Airline Company is considering expanding its territory. The company has the opportunity to purchase one of two different used airplanes. The first airplane is expected to cost $12,000,000; it will enable the company to increase its annual cash inflow by $4,000,000 per year. The plane is expected to have a useful life of five years and no salvage value. The second plane costs $24,000,000; it will enable the company to increase annual cash flow by $6,000,000 per year. This plane has an eight-year useful life and a zero salvage value. Required:

Determine the payback period for each investment alternative and identify the alternative North should accept if the decision is based on the payback approach.

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 01:30
Someone knows the answer i need in the exam
Answers: 2
question
Business, 22.06.2019 14:30
Your own record of all your transactions. a. check register b. account statement
Answers: 1
question
Business, 22.06.2019 19:40
The following cost and inventory data are taken from the accounting records of mason company for the year just completed: costs incurred: direct labor cost $ 90,000 purchases of raw materials $ 134,000 manufacturing overhead $ 205,000 advertising expense $ 45,000 sales salaries $ 101,000 depreciation, office equipment $ 225,000 beginning of the year end of the year inventories: raw materials $ 8,100 $ 10,300 work in process $ 5,900 $ 21,000 finished goods $ 77,000 $ 25,800 required: 1. prepare a schedule of cost of goods manufactured. 2. prepare the cost of goods sold section of mason company’s income statement for the year.
Answers: 3
question
Business, 22.06.2019 20:20
Gamegirl inc., has the following transactions during august. august 6 sold 76 handheld game devices for $230 each to ds unlimited on account, terms 2/10, net 60. the cost of the 76 game devices sold, was $210 each. august 10 ds unlimited returned six game devices purchased on 6th august since they were defective. august 14 received full amount due from ds unlimited. required: prepare the transactions for gamegirl, inc., assuming the company uses a perpetual inventory syste
Answers: 2
You know the right answer?
North Airline Company is considering expanding its territory. The company has the opportunity to pur...
Questions
question
Biology, 31.01.2020 17:59
question
Health, 31.01.2020 17:59
question
English, 31.01.2020 17:59
question
Mathematics, 31.01.2020 17:59
question
Computers and Technology, 31.01.2020 17:59