Question

A Cost and Benefit Information 1. One Helping Hand would do the work of 20 farm workers. 2. Each farm worker typically works 50 hours on the lettuce thinning process each year. 3. Each farm worker would earn $12 per hour plus 7.65% payroll tax. 4. The Helping Hand is estimated to cost $8,500 plus $600 for delivery 5. Annual costs of operating the Helping Hand are expected to be $2,400 Print Done

Answer 1

Answer is given below

Cost Benefit Analysis Expected Benefits (Cost savings): Salary savings $12,000 Payroll tax $918 Total expected benefits (50*20*$12) 7.65% of Salary $12,918 Expected Costs: Cost of Robot Delivery charges Annual operating cost Total expected costs Net expect benefit (cost) $8,500 $600 $2,400 $11,500 $1,418