Toro, S.A., which is based in Mexico, enters into a contract for the purchase of portable livestock fencing from United Fencing Company, which is based in the United States. This contract is governed by a. the United Nations Convention on Contracts for the International Sale of Goods. b. Mexican law. c. the provisions in the laws of both countries that are similar. d. the Uniform Commercial Code.

A) the United Nations Convention on Contracts for the International Sale of Goods.

Explanation:

From the question we are informed about Toro, S.A., which is based in Mexico, enters into a contract for the purchase of portable livestock fencing from United Fencing Company, which is based in the United States. In this case, This contract is governed by the United Nations Convention on Contracts for the International Sale of Goods. The United Nations Convention on Contracts for the International Sale of Goods can as well be regarded as

"Vienna Convention" this body is a

a multilateral treaty which was set up to bring about uniform framework as well as international commerce is concerned.

Based on the data, net cash flows (NCFs) before replacement are $1,680 and they are constant over four years.

Explanation:

annual operating costs before replacement = $1,100

sales revenue = $3,500

depreciation of old machine = $600

tax rate = 40%

net cash flow = [(revenues - current cost - depreciation) x (1 - tax rate)] + depreciation = [($3,500 - $1,100 - $600) x (1 - 40%)] + $600 = $1,680 per year