(5 points) A factory produces blood test kits. In order to expand the production, the manamgent is considerating purchasing a new Green machine that costs $78,100, has a lifetime of 7 years, and a salvage value of $11,000. The machine's annual maintenance cost is $1,250. Assume throughout this question that the cost of capital is 1.45%. a) Find the Green machine's capitalized cost. Answer = $ b) How much profit should the Green machine generate per year, at the minimum, to economically justify the purchase? Answer = $ The management also has a quote for a Blue machine, which costs $94,700, has a lifetime of 8 years, and a salvage value of $13,300. C) Let X denote the annual maintenance cost of the Blue machine. Express the Blue machine's capitalized cost in terms of X Answer = Help: Entering formula d) How much can the Blue company charge for annual maintenance to make its machine as economic as the Green one? Answer = $ (5 points) A factory produces blood test kits. In order to expand the production, the manamgent is considerating purchasing a new Green machine that costs $78,100, has a lifetime of 7 years, and a salvage value of $11,000. The machine's annual maintenance cost is $1,250. Assume throughout this question that the cost of capital is 1.45%. a) Find the Green machine's capitalized cost. Answer = $ b) How much profit should the Green machine generate per year, at the minimum, to economically justify the purchase? Answer = $ The management also has a quote for a Blue machine, which costs $94,700, has a lifetime of 8 years, and a salvage value of $13,300. C) Let X denote the annual maintenance cost of the Blue machine. Express the Blue machine's capitalized cost in terms of X Answer = Help: Entering formula d) How much can the Blue company charge for annual maintenance to make its machine as economic as the Green one? Answer = $