Equipment maintenance costs for manufacturing explosion-proof pressure switches are projected to be $125,000 in year one and increase by 3.5% each year through year five. What is the equivalent annual worth of the maintenance costs at an interest rate of 10% per year, compounded bi-weekly (compounded once in two weeks)?
The equivalent annual worth is $ .
Equipment maintenance costs for manufacturing explosion-proof pressure switches are projected to be $125,000 in year one...
QUESTION 15 Initial maintenance costs for a particular piece of construction equipment are $3,000 per year. These costs are expected to increase by $1,000 per year during the equipment's 5-year lifespan. Using an interest rate of 8 percent compounded annually, determine the present worth equivalent for the maintenance costs. CA. $4,650 B.$7.372 C. $11.978 D.$19.351
uestion 8 10 points The maintenance costs of a piece of equipment are expected to be S1 500 at the end of the first year and expected to increase by $125 each year through year seven Assuming an interest rate of 10% Match the following questions with the closest correct answers from the given list What is the present worth of base amount? A $1595 D B. 51280 C. 57302 What is the present worth of gradient amount? What is...
4. Yearly labor costs of a highway maintenance group are currently $420,000/year. If labor rates escalate at a 12% rate and general inflation increases at 9%, determine for each of the next 6 years the labor cost in then-current and constant worth dollars. (3.3) of the next be ars 129 rate and Question: In a new, highly automated factory, labor costs are expected to decrease at an annual compound rate of 5%; material costs are expected to increase at an...
Question 15 Master Manufacturing is considering the purchase of a machine or $500,000. Aernalively, the machine could be leased on a five-year contract for $125,000 par year with lease maintenance costs wil be $25,000 per year and the salvage value of the machine after flive years is expected to be $70,000 beginning of each yoar. It the compary purchases the machine, Answer the below questions Using an interest rate of 10% pir year Match the dosest corectansen Int beon gostos...
Question 15 10 points Save Answer Master Manufacturing is considering the purchase of a machine for $500,000. Alternatively, the machine could be leased on a five-year contract for $125,000 per year with lease payments made at the beginning of each year. I the company purchases the machine, maintenance costs will be $25,000 per year and the salvage value of the machine after five years is expected to be $70,000. Answer the below questions using an interest rate of 10% per...
ASSIGNMENT 1. Determine the capitalized cost of an equipment costing P2M with and annual maintenance of P200,000.00 if money is worth 20% per annum. 2. A dam will have a first cost of $5,000,000 an annual maintenance cost of $25,000 and minor reconstruction costs of $100,000 every five years. At an interest rate of 8% per year, the capitalized cost of the dam is? 3. A P100,000, 6% bond, pays dividend semi-annually and will be redeemed at 110% on July...
13. A manufacturing company, called "Manufacturing Co", must purchase new equipment for one of its assembly lines. Three different options (A, B, and C) are under consideration. Option A, which has an acquisition cost of $110,000, is standard equipment that has already been on the market for a number of years. Options B and C are new equipment recently developed by a new company, called "EquipmentCo". EquipmentCo will offer a reduced price of $75,000 for option B and $25,000 for...
Master Manufacturing is considering the purchase of a machine for $500,000. Alternatively, the machine could be leased on a five-year contract for $125,000 per year with lease payments made at the beginning of each year. If the company purchases the machine, maintenance costs will be $25,000 per year and the salvage value of the machine after five years is expected to be $70,000. Answer the below questions Using an interest rate of 10% per year. Match the closest correct answers...
Nippon Steel’s expenses for heating and cooling a large manufacturing facility are expected to increase according to an arithmetic gradient beginning in year 2. If the cost is $550,000 this year (year 0) and will be $550,000 again in year 1, but then it is estimated to increase by $58,000 each year through year 12, what is the equivalent annual worth in years 1 to 12 of these energy costs at an interest rate of 14% per year? The equivalent...
Nippon Steel's expenses for heating and cooling a large manufacturing facility are expected to increase according to an arithmetic gradient beginning in year 2. If the cost is $550,000 this year (year 0) and will be $550,000 again in year 1, but then it is estimated to increase by $55,000 each year through year 12, what is the equivalent annual worth in years 1 to 12 of these energy costs at an interest rate of 9% per year? : The...