Mauldin Welding Shop is considering the purchase of new high-tech welding equipment.If the equipment is purchased,Mauldin will have to incur $2,000 to install the equipment and pay a technician to adjust the computer settings.In determining the cash flows associated with the new equipment,the $2,000 payment will be

Question

Quizplus · Accepted Answer

The $2,000 payment to install the equipment and adjust the computer settings is a cash outflow because it is a payment made by the company.

Mauldin Welding Shop Is Considering the Purchase of New High-Tech