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A $500,000 surface-mount placement machine is being evaluated by a manufacturing engineer at Motorola. The machine is proposed for use on cell phone assembly line

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A $500,000 surface-mount placement machine is being evaluated by a manufacturing engineer at Motorola. The machine is proposed for use on cell phone assembly line to automatically insert electronic components onto printed circuit boards Over a 10-year planning horizon, the engineer estimates the machine will produce annual cost savings of $92, 500 and be worth $50,000 at the end of the 10-year period Based on a 10% APR. should the investment be made? Solve this problem with EXCEL (a) Create a cash flow table. (b) Plot a cash flow diagram (CFD) (c) is the investment economically viable based on a present worth (PW) analysis? (d) create a table of cumulative PW w.r.t. N (e) plot PW vs. N from the table (Part-e) (f) At what year does breakeven occur? (g) Based on Part-f. is this investment risky? YES/NO with a brief explanation

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