DelRay Foods must purchase a new gumdrop machine. Two machines are available. Machine 7745 has a...
DelRay Foods must purchase a new gumdrop machine. Two machines are available. Machine 7745 has a first cost of $1,400, an estimated life of 10 years, a salvage value of $1,000, and annual operating costs estimated at $0.01 per 1,000 gumdrops. Machine A37Y has a first cost of $8,000, a life of 10 years, and no salvage value. Its annual operating costs will be $280 regardless of the number of gumdrops produced. MARR is 6%/year, and 30 million gumdrops ware produced each year. a. What is the annual worth of each alternative? Machine 7745 AW= $? Machine A37Y AW= $?
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DelRay Foods must purchase a new gumdrop machine. Two machines
are available. Machine 7745 has a...
For the below ME alternatives, which machine should be selected based on the AW analysis. MARR=10%
QUESTION 3For the below ME alternatives, which machine should be selected based on the AW analysis. MARR=10%Machine AMachine BMachine CFirst cost, $26,5383000010000Annual cost, $/year8,0606,0004,000Salvage value, $4,0005,0001,000Life, years362Answer the below questions:A- AW for machine A=QUESTION 4For the below ME alternatives, which machine should be selected based on the AW analysis. MARR=10%Machine AMachine BMachine CFirst cost, $1500021,66710000Annual cost, $/year8,8706,0004,000Salvage value, $4,0005,0001,000Life, years362Answer the below questions:B- AW for machine B=
Question 2 1 pts "Your company needs a machine for the next 20 years. You are considering two different machine...
Question 2 1 pts "Your company needs a machine for the next 20 years. You are considering two different machines. Machine A Installation cost: $4,300,000 Annual O&M costs: $91,000 Service life (years): 20 Salvage value: $62,000 Annual income taxes: $48,000 Machine B Installation cost: $20,000,000 Annual 0&M costs: $105,000 Service life (years): 10 Salvage value: $44,000 Annual income taxes: $36,000 If your company's MARR is 16%, determine which machine you should buy. Assume that machine B will be available in...
4.1 Itata Limited has the choice of purchasing one of two machines viz. Machine L or...
4.1 Itata Limited has the choice of purchasing one of two machines viz. Machine L or Machine T. Both machines have a five-year life. The annual revenues from each machine are estimated at R2 000 000. Machine L is not expected to have a scrap value. Machine L costs R4 500 000. Its annual cash operating costs are estimated at R680 000. Machine T costs R4 500 000. Its annual cash operating costs are estimated at R700 000. The scrap...
3. Chapter 5 Assignment 1) A ski resort wishes to evaluate two alternative machines for ski...
3. Chapter 5 Assignment 1) A ski resort wishes to evaluate two alternative machines for ski and board tuning. Select the best alternative using the AW method at 6% per year. Machine R Machine S -250,000 -370,500 -40,000| -50,000 First cost, $ |Annual operating cost, $ per year Life, years Salvage value, $ 20,000 20,000
A company needs to purchase a new machine to maintain its level of production. The company_is__considering...
A company needs to purchase a new machine to maintain its level of production. The company_is__considering three different machines. The costs savings and service life related to each machine are listed in the table below. 1 500 He first year and increasing by $ 750 | Machine A Machine B Machine C First Cost $ 26,000 $30,000 $ 28,000 Annual savings $12,000 $12, 500 $12,750 Hamanl maintenanvel $2,750 $2,500 every year thereafter $1,750 Salvage value $12,500 $6,000 $1,500 service life...
AW value? An injection molding system has a first cost of $185,000 and an annual operating...
AW value?
An injection molding system has a first cost of $185,000 and an annual operating cost of $79.000 in years and increasing by $3,000 per year thereafter. The salvage value of the system is 25% of the first cost regardless of when the system is retired within its maximum useful life of 5 years. Using a MARR of 14% per year, determine the ESL and the respective AW value of the system The ESL is 5 year(s) and AW...
Required information Problem 14.056 The two machines shown are being considered for a chip manufacturing operation....
Required information Problem 14.056 The two machines shown are being considered for a chip manufacturing operation. Assume the MARR is a real return of 14% per year and that the inflation rate is 5.2% per year. 0.000 Machine First Cost, $ M&0. $ per year Salvage Value, $ Life, years -145.000 -70.000 40,000 5.000 00.000 Problem 14.056.a: Compare two alternatives based on their AW values without inflation consideration Which machine should be selected on the basis of an annual worth...
Please show steps. Thank you. 1) A ski resort wishes to evaluate two alternative machines for...
Please show steps. Thank you.
1) A ski resort wishes to evaluate two alternative machines for ski and board tuning. Select the best alternative using the AW method at 6% per year. Machine R Machine S -250,000 -370,500 -40,000 -50,000 First cost, $ Annual operating cost, $ per year Life, years Salvage value, $ 20,000 20,000
PROBLEM The following costs are associated with three tomato-peeling machines being considered fo...
CALCULATE FOR B
PROBLEM The following costs are associated with three tomato-peeling machines being considered for use in a food canning plan Machine A S52,000 15,000 Machine B $67,000 12,000 Machine C $63,000 9,000 First cost Annual Maintenance & Operating costs Annual increase starting in year2 Annual benefit Salvage value Useful life, in years 38,000 13,000 4 37,000 22,000 12 250 31,000 19,000 If the canning company uses a MARR of 12%, which is the best alternative? Show your analysis...
An injection molding system has a first cost of $180,000 and an annual operating cost of...
An injection molding system has a first cost of $180,000 and an annual operating cost of $77,000 in years 1 and 2, increasing by $6,000 per year thereafter. The salvage value of the system is 25% of the first cost regardless of when the system is retired within its maximum useful life of 5 years. Using a MARR of 10% per year, determine the ESL and the respective AW value of the system. The ESL is year(s) and AW value...
Question 2 1 pts "Your company needs a machine for the next 20 years. You are considering two different machines. Machine A Installation cost: $4,300,000 Annual O&M costs: $91,000 Service life (years): 20 Salvage value: $62,000 Annual income taxes: $48,000 Machine B Installation cost: $20,000,000 Annual 0&M costs: $105,000 Service life (years): 10 Salvage value: $44,000 Annual income taxes: $36,000 If your company's MARR is 16%, determine which machine you should buy. Assume that machine B will be available in...
3. Chapter 5 Assignment 1) A ski resort wishes to evaluate two alternative machines for ski and board tuning. Select the best alternative using the AW method at 6% per year. Machine R Machine S -250,000 -370,500 -40,000| -50,000 First cost, $ |Annual operating cost, $ per year Life, years Salvage value, $ 20,000 20,000
A company needs to purchase a new machine to maintain its level of production. The company_is__considering three different machines. The costs savings and service life related to each machine are listed in the table below. 1 500 He first year and increasing by $ 750 | Machine A Machine B Machine C First Cost $ 26,000 $30,000 $ 28,000 Annual savings $12,000 $12, 500 $12,750 Hamanl maintenanvel $2,750 $2,500 every year thereafter $1,750 Salvage value $12,500 $6,000 $1,500 service life...
AW value?
An injection molding system has a first cost of $185,000 and an annual operating cost of $79.000 in years and increasing by $3,000 per year thereafter. The salvage value of the system is 25% of the first cost regardless of when the system is retired within its maximum useful life of 5 years. Using a MARR of 14% per year, determine the ESL and the respective AW value of the system The ESL is 5 year(s) and AW...
Required information Problem 14.056 The two machines shown are being considered for a chip manufacturing operation. Assume the MARR is a real return of 14% per year and that the inflation rate is 5.2% per year. 0.000 Machine First Cost, $ M&0. $ per year Salvage Value, $ Life, years -145.000 -70.000 40,000 5.000 00.000 Problem 14.056.a: Compare two alternatives based on their AW values without inflation consideration Which machine should be selected on the basis of an annual worth...
Please show steps. Thank you.
1) A ski resort wishes to evaluate two alternative machines for ski and board tuning. Select the best alternative using the AW method at 6% per year. Machine R Machine S -250,000 -370,500 -40,000 -50,000 First cost, $ Annual operating cost, $ per year Life, years Salvage value, $ 20,000 20,000
CALCULATE FOR B
PROBLEM The following costs are associated with three tomato-peeling machines being considered for use in a food canning plan Machine A S52,000 15,000 Machine B $67,000 12,000 Machine C $63,000 9,000 First cost Annual Maintenance & Operating costs Annual increase starting in year2 Annual benefit Salvage value Useful life, in years 38,000 13,000 4 37,000 22,000 12 250 31,000 19,000 If the canning company uses a MARR of 12%, which is the best alternative? Show your analysis...
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