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NEW QUESTION: 1
For the next 2 years, a lease is estimated to have an operating net cash inflow of $7,500 per annum,
before adjusting for $5,000 per annum tax basis lease amortization, and a 40% tax rate. The present
value of an ordinary annuity of $1 per year at 10% for 2 years is $1.74. What is the lease's after-tax
present value using a 10% discount factor?
A. $11,310
B. $2,610
C. $4,350
D. $9,570
Answer: A
Explanation:
Choice "d" is correct. Present value is based on the cash flows of an activity. Amortization is a non-cash
expense that is considered only for its tax shield; therefore, the only relevant amounts are the $7,500
operating net cash inflow and the tax paid.

After-tax PV $11,310 Choice "a" is incorrect. Amortization expense of $5,000 is a non-cash expense and
is not used to compute after-tax present value. It is used to determine the cash paid for taxes. Choice "b"
is incorrect. Amortization is a non-cash expense. It is not considered in the calculation, expecpt to the
extent it creates a tax shield. The tax shield reduces the amount of taxes paid out by the company. Choice
"c" is incorrect. Present value is based on the cash flows of an activity. Amortization is a noncash expense
that is considered only for its tax shield; therefore, the only relevant amounts are the $7,500 operating net
cash inflow and the tax paid.

NEW QUESTION: 2
After converting your physical standby database to a logical database, you get an error:

How can you rectify the error?
A. Add a logical standby database PRODSBY and enable it, thereby replacing the physical standby
database metadata in the broker configuration .
B. Reinstate both the primary and physical standby databases The broker will automatically detect that
PRODSBY is a logical standby update to the metadata.
C. Reinstate the physical standby database PRODSBY as a logical standby, thereby replacing the
physical standby database metadata in the broker configuration.
D. Remove the physical standby database PRODSBY from the broker configuration, add a logical
standby database PRODSBY to the broker configuration and enable it.
Answer: B

NEW QUESTION: 3
A cumulative frequency distribution on days absent during a calendar year by employees of a manufacturing company is shown below.
Days AbsentCumulative ## of Employees
0 - 260
3 - 531
6 - 814
9 - 116
12 - 142
How many employees were absent between 6 and 11 days?
A. 0
B. None of these answers
C. 1
D. 2
E. 3
Answer: C
Explanation:
Explanation/Reference:
Explanation:
This is found by the difference between the 6-8 class and the 12-14 class. In this case: 14 - 2 = 12.