22 (1 point) Saved Lockwood Company would like to purchase a production machine for $900,000. The machine is expected to have a life of five years, and a salvage value of $100,000. Annual maintenance costs will total $40,000. Annual savings are predicted to be $350,000. The company only accepts projects that have a payback period of less than three years. Calculate the payback period for this project rounded to the nearest month. Question 22 options: 2 Years 2 years and 11 months Question 23 (1 point) Capital budgeting involves using company _______ to invest in long-term assets. Question 23 options: Resources Funds Image Question 24 (1 point) Calculate the Economic Value Added from the following: Net operating profit after taxes(adjusted) $3257, Percent cost of capital 8%, Average operating assets (adjusted) $32300. Question 24 options: $4172 $2584 $673 Question 25 (1 point) Calculate the Transfer price when at Capacity of the organization from the following: Differential cost to selling division $18, Opportunity cost of selling internally $11. Question 25 options: $29 $7 $1.64 Question 26 (1 point) Management's minimum desired rate of return on an investment; also called the discount rate and hurdle rate. Question 26 options: Required Rate of Return Targeted Profit Profitability Index Question 27 (1 point) A __________ is the price used to value the transfer of goods or services between divisions within the same company. Question 27 options: Cost price Transfer price Sales price Question 28 (1 point) Calculate the ROI from the following: Operating income $4952, Average operating assets $29350. Question 28 options: 8.93% 5.93% 16.87% Question 29 (1 point) A company produces 500 units at a variable cost of $200 per unit. The selling price is $250 per unit and there are fixed expenses of $12,000 per month. calculate Break-even point in terms of dollars ($). Question 29 options: $60000 $100000 $25000 Question 30 (1 point) Organizations make adjustments to _________ and average operating assets while using Economic Value added. Question 30 options: Cost Operating income Profit Question 31 (1 point) Asset turnover is the ratio of ________ to average operating assets. Question 31 options: Cost Operating profit Sales Question 32 (1 point) The local non-profit youth symphony is planning a concert fundraiser. The organization estimates that 550 tickets can be sold for $16 per person. The fixed costs are $720. The local chamber of commerce office will process ticket orders for a fee of $4 per ticket, to relieve the youth symphony of this responsibility. How many tickets does the organization have to sell to break even? Question 32 options: 60 Units 720 Units Question 33 (1 point) The transfer price should be set at a ________ to the selling division, plus the opportunity cost of making the sale internally. Question 33 options: Zero Nominal Differential cost