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Question Completion Status: QUESTION 34 12.5 points The management at Quarter Corporation is investigating purchasing equipment that would increase sales revenues by $462,000 per year

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Question Completion Status: QUESTION 34 12.5 points The management at Quarter Corporation is investigating purchasing equipment that would increase sales revenues by $462,000 per year and cash operating expenses by $336,500 per year. The equipment would cost $350,000 and have a 10 year life with no salvage value. Quarter Corporation uses straight-line depreciation for all fixed assets. The simple rate of return on the investment is closest to (ignore income taxes): A. 35.8696 B. 45.86% C. 25.86% D. 19.59% QUESTION 35 12.5 poll Incredible Corporation is considering a project that would require an investment of $75,000. No other cash outflows would be involved. The present value of the cash inflows would be $93,450. The profitability index of the project is closest to (ignore income taxes): O A. 0.25 OB. 0.80 O C. 1.25 D. 0.20

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