The dominant form of price-oriented promotion is couponing

Managers cost products to guide them in their long-term strategic planning process

Indicate whether the statement is true or false

Assume that Penguin Co is considering disposing of equipment that cost $50,000 and has $40,000 of accumulated depreciation to date. Penguin Co can sell the equipment through a broker for $25,000 less 5% commission. Alternatively, Teal Co has offered to lease the equipment for five years for a total of $48,750. Penguin will incur repair, insurance, and property tax expenses estimated at $10,000

At lease-end, the equipment is expected to have no residual value. The net differential income from the lease alternative is: A) $15,000 B) $ 5,000 C) $25,000 D) $12,500