1. Murdock Co. has additional funds that need to be invested, and is considering purchas asset that is expected to return $15,000 per year after tax for the next 5 years, with an disposal value of $30,000. Merrill Co.'s required rate of return is 10%. What is the maximum amount that Merrill Co. would be willing to pay to purchase this Worth 5 points. 2. What is meant by the term "capital budgeting"? Worth 5 points. 3. What is an annuity? Worth 5 points 4. What is meant by the concept of the "time value" of money? Worth 5 points