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Tim Is Opening a New Online Store

Question 102

Multiple Choice

Tim is opening a new online store.He is considering buying or leasing some new computers.The purchase price of a computer is $900 and after three years it is worthless.The annual cost of leasing a computer is $450.The price of capital equipment is ________.The rental rate of capital is ________.


A) $900;$450
B) $450;$450
C) $900;$900
D) $450;$900
E) 100 percent;50 percent

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