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1. A sports factory is planning to invest170000 Riyals in July 2019 and the expected cash returns in July 2020, July 2021 and July 2022
1. A sports factory is planning to invest170000 Riyals in July 2019 and the expected cash returns in July 2020, July 2021 and July 2022 are 40,000, 70000 and 20000 Riyals, respectively. Determine the NET PRESENT WORTH (NPW) and ANNUAL EQUIVALENT WORTH savings (AEW) of the project, if the interest rate involved is 10% and the SALVAGE VALUE of the Company is 3000 Riyals. In addition, compute the ANNUAL EQUIVALENT WORTH per unit machine hour, if the manufacturing plant operates (70% of the total time) on an annual basis. Assume the LIFE CYCLE OF THE PROJECT is 3 years.
1. A sports factory is planning to invest170000 Riyals in July 2019 and the expected cash returns in July 2020, July 2021 and July 2022 are 40,000, 70000 and 20000 Riyals, respectively. Determine the NET PRESENT WORTH (NPW) and ANNUAL EQUIVALENT WORTH savings (AEW) of the project, if the interest rate involved is 10% and the SALVAGE VALUE of the Company is 3000 Riyals. In addition, compute the ANNUAL EQUIVALENT WORTH per unit machine hour, if the manufacturing plant operates (70% of the total time) on an annual basis. Assume the LIFE CYCLE OF THE PROJECT is 3 years.
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Factory Business System Audit Lean Manufacturing
Authors: Rolf Thorsten
1st Edition
1091908583, 978-1091908581
