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4. A small high-speed commercial centrifuge has the following net cash flows and abandonment values over its useful life. The firm's MARR is 12% per
4. A small high-speed commercial centrifuge has the following net cash flows and abandonment values over its useful life. The firm's MARR is 12% per year. Determine the optimal time for the centrifuge to be abandoned if its current MV is $8,000 and it won't be used for more than five years. End of Year 1 2 3 4 5 Annual revenues less expenses $2,200 $2,200 $2,200 $2,200 $2,200 Abandonment value of machine $6,400 5,300 $4,000 $2,000 0 a Estimated MV. 6 Click the icon to view the interest and annuity table for discrete compounding when MARR = 12% per year. The centrifuge should be retained for year(s) before abandonment. (Round to the nearest whole number Type O if the centrifuge should be abandoned immediately.) 6: More Info Capital Recovery Factor To Find A Given P A/F AP Discrete Compounding; i=12% Single Payment Uniform Series Compound Compound Sinking Amount Present Amount Present Fund Factor Worth Factor Factor Worth Factor Factor To Find F To Find P To Find F To Find P To Find A Given P Given F Given A Given A Given F F/P P/F FIA PIA 1.1200 0.8929 1.0000 0.8929 1.0000 1.2544 0.7972 2.1200 1.6901 0.4717 1.4049 0.7118 3.3744 2.4018 0.2963 1.5735 0.6355 4.7793 3.0373 0.2092 1.7623 0.5674 6.3528 3.6048 0.1574 1.9738 0.5066 8. 1152 4.1114 0.1 232 2.2107 0.4523 10.0890 4.5638 0.0991 2.4760 0.4039 12.2997 4.9676 0.0813 2.7731 0.3606 14.7757 5.3282 0.0677 3.1058 0.3220 17.5487 5.6502 0.0570 3.4785 0.2875 20.6546 5.9377 0.0484 3.8960 0.2567 24.1331 6.1944 0.0414 4.3635 0.2292 28.0291 6.4235 0.0357 4.8871 0.2046 32.3926 6.6282 0.0309 5.4736 0.1827 37 2797 6.8 109 0.0268 1.1200 0.5917 0.4163 0.3292 0.2774 0.2432 0.2191 0.2013 0.1877 0.1770 0.1684 0.1614 0.1557 0.1509 0.1468 4. A small high-speed commercial centrifuge has the following net cash flows and abandonment values over its useful life. The firm's MARR is 12% per year. Determine the optimal time for the centrifuge to be abandoned if its current MV is $8,000 and it won't be used for more than five years. End of Year 1 2 3 4 5 Annual revenues less expenses $2,200 $2,200 $2,200 $2,200 $2,200 Abandonment value of machine $6,400 5,300 $4,000 $2,000 0 a Estimated MV. 6 Click the icon to view the interest and annuity table for discrete compounding when MARR = 12% per year. The centrifuge should be retained for year(s) before abandonment. (Round to the nearest whole number Type O if the centrifuge should be abandoned immediately.) 6: More Info Capital Recovery Factor To Find A Given P A/F AP Discrete Compounding; i=12% Single Payment Uniform Series Compound Compound Sinking Amount Present Amount Present Fund Factor Worth Factor Factor Worth Factor Factor To Find F To Find P To Find F To Find P To Find A Given P Given F Given A Given A Given F F/P P/F FIA PIA 1.1200 0.8929 1.0000 0.8929 1.0000 1.2544 0.7972 2.1200 1.6901 0.4717 1.4049 0.7118 3.3744 2.4018 0.2963 1.5735 0.6355 4.7793 3.0373 0.2092 1.7623 0.5674 6.3528 3.6048 0.1574 1.9738 0.5066 8. 1152 4.1114 0.1 232 2.2107 0.4523 10.0890 4.5638 0.0991 2.4760 0.4039 12.2997 4.9676 0.0813 2.7731 0.3606 14.7757 5.3282 0.0677 3.1058 0.3220 17.5487 5.6502 0.0570 3.4785 0.2875 20.6546 5.9377 0.0484 3.8960 0.2567 24.1331 6.1944 0.0414 4.3635 0.2292 28.0291 6.4235 0.0357 4.8871 0.2046 32.3926 6.6282 0.0309 5.4736 0.1827 37 2797 6.8 109 0.0268 1.1200 0.5917 0.4163 0.3292 0.2774 0.2432 0.2191 0.2013 0.1877 0.1770 0.1684 0.1614 0.1557 0.1509 0.1468
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