QUESTION 14 1.5 poi Palmer Corporation is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net income of $60,000. The equipment will have an initial cost of $200,000 and have a 8-year life. If the salvage value of the equipment is estimated to be $40,000, what is the accounting rate of return? QUESTION 15 1.5 poin Refer to Palmer Corporation. What is the payback period? QUESTION 16 1.5 point Mohave Corporation has received a special order for 500 units of its product at a special price of $90. The product normally sells for $120 and has the following manufacturing costs Per unit Direct Materials $30 Direct labor $40 Variable manufacturing overhead $15 Fixed manufacturing overhead $25 Unit cost $110 Assume Mohave currently has the excess capacity necessary to accept the offer without harming normal production and sales and all fixed overhead is unavoidable. If Mohave accepts the order, what effect will the order have on the company's short-term profit? O $15,000 decrease in profit $10,000 decrease in profit $45,000 increase in profit $2,500 increase in profit QUESTION 17 1 points Refer to Mohave Corporation Should Mohave accept the offer? Yes. Mohave should accept the offer. No. Mohave should not accept the offer