Which type of question is best for clarifying and gaining commitment on several buying conditions?

A) open
B) closed
C) probing
D) summary-confirmation
E) need-satisfaction

D

Business

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Two years into a ten-year lease, the lessor and lessee agree to terminate the rental agreement, with the lessee vacating the property and the lessor not demanding any further payment of rent. This is known as:

A: Reformation; B: Release; C: Surrender; D: Constructive eviction.

Business

What is the payback period for the Airbus A380 project? The Airbus A380 is the largest civilian aircraft ever built. It can carry 555 passengers on two decks. Initial project investments were $13B

Assume that the initial investment was paid on Dec 31, 2008. Assume that Airbus will produce 60 aircraft per year for five years. Each aircraft will be sold for $230M and total operating costs are 75% of revenues. Assume that revenues and costs occur at year-end with the first revenues (and costs) occurring on Dec 31, 2009. Ignore taxes and assume that there are no terminal year cash flows. Select the earliest year such that the initial investments are completely paid off. A) 3 years B) 4 years C) 5 years D) The project is not paid off in this time frame. E) Need the cost of capital to answer this question.

Business