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10- The KLN Company is attempting to determine the economically best sze of pro machine for their facilities. The six altemative machine sizes which are
10- The KLN Company is attempting to determine the economically best sze of pro machine for their facilities. The six altemative machine sizes which are feasible s a Table below. Each machine has a life of 100 years and no salvage valve. in they buy total capital budget of $350 000 and a MARR of 15%, which machines sib The company has a hould they buya Size of Annual Revenue, Investment Machine Economy $ 7 200 12% S60000 Regular Super Delux Bulk 25 000 36000 45 000 50 000 10000o 200 000 220 00O 25% 1890 20.45% 16.67% 385000 20.5% Extended 52 000
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