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Table 92 -Refer to Table 9

Question 87

Multiple Choice

Table 9.2
 Cost of machine $300,000 Arnual autput from mechine $35,000 Arnual interett rate on loans 9%\begin{array} { | l c | } \hline \text { Cost of machine } & \$ 300,000 \\\hline \text { Arnual autput from mechine } & \$ 35,000 \\\hline \text { Arnual interett rate on loans } & 9 \% \\\hline\end{array}
-Refer to Table 9.2. If a firm purchases the machine by taking out a one-year loan, what is the firm's profit from the investment?


A) $25,500
B) $35,000
C) $8,000
D) $0
E) $6,525

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