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NEW QUESTION: 1
Using the following information calculate the payback period
Purchase Price = $50,000
Life span of new machine = 7 years
Annual earnings before depreciation and tax = 20,000
A. 17.5 Years
B. 4.5 Years
C. 2.5 Years
D. .4 Years
Answer: C
Explanation:
Payback Period = Initial cash investment/ annual net cash income=50000/20000= 2.5 years

NEW QUESTION: 2
Under Renegotiations, extensions, and assumptions-12 CFR 213.5; any lease that is
renegotiated or extended by longer than six months is considered to be a new lease,
subject to new disclosure requirements, except when:
A. In a multiple-item lease, property
is added, deleted, or substituted provided the average periodic payment does not change by more than 35 percent
B. There is an agreement resulting from a pre-order
C. One or more payments are deferred, whether or not there is a charge for the deferral
D. Lease property is substituted with property of substantially equivalent or greater value, if no other lease terms are changed
Answer: C,D

NEW QUESTION: 3
Documentation is a substantial part of the evidence for Service Management What is a best practice relating to documentation?
A. Documentation should be protected from damage due to IT related disasters.
B. Documentation should be stored at a central place and be only accessible via procedures
C. Documentation should refer to the requirements of ISO/EC 20000 for audit purposes.
D. Documentation should be kept at least five years for auditing purposes.
Answer: A