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5. Management is considering purchasing a machine for $35,000. Expected cash flows from the purchase of the machine are $4,000 per year for ten years.

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5. Management is considering purchasing a machine for $35,000. Expected cash flows from the purchase of the machine are $4,000 per year for ten years. At the end of ten years the company expects to sell the machine as salvage for $1,500. The rate of return required by the company on the purchase grth machine is 4%. What is the maximum amount the company should pay for the new machine? A.$32,444 B.$28,054 C.S33,458 D.$27,867 E.S33,944 6. A company reported $212,000 of accounts payable and S36,000 of unearned revenue on its Oct. 31,2017 balance sheet. During November, the following transactions occurred: Nov. 1 Nov. 3 Nov. 15 Signed a 9-month 5% note for $100,000 Paid suppliers $130,000 of what was owed on account A neighboring firm filed a lawsuit against the company seeking S80,000 in damages for alleged pollution of a local water source. The case will not go to trial until June, 2018, and the company attorney feels the suit doesn't have merit, but it's reasonably possible that the company will have to pay the plaintiff. Accrued salaries and benefits earned by employees during the last week of the month and payable on Dec. 2 were $15,000 It was determined that S13,500 of unearned revenue had been earned by the end of the month. Nov. 30 Nov. 30 Determine total current liabilities on Nov. 30, 2017 A. C. E. $299,917 $220,333 $219,917 $219,500 $299,500

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