Cyber Manufacturing is purchasing a complete video borescope system for applications that require work in places that eyes cannot see. The purchase price is $8,000, shipping and delivery is $300, installation cost is $1,500, tax recovery period is 5 years, book depreciation period is 10 years, salvage value is estimated to be $500, and operating cost (with technician) will be $45,000 per year. For MACRS depreciation of the system, what are the values of basis (B), salvage value (S), and recovery period (n)?

Jamie is saving for a trip to europe. she has an existing savings account that earns 3 percent annual interest and has a current balance of $4,200. jamie doesn’t want to use her current savings for vacation, so she decides to borrow the $1,600 she needs for travel expenses. she will repay the loan in exactly one year. the annual interest rate is 6 percent. a. if jamie were to withdraw the $1,600 from her savings account to finance the trip, how much interest would she forgo? .b. if jamie borrows the $1,600 how much will she pay in interest? c. how much does the trip cost her if she borrows rather than dip into her savings?