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A manufacturing company is considering a capacity expansion investment at the cost of $250,059 with no salvage value. The expansion would enable the company to
A manufacturing company is considering a capacity expansion investment at the cost of $250,059 with no salvage value. The expansion would enable the company to produce up to 26,488 parts per year and the useful life of the additional capacity is seven years. Each part would generate $3.9 net profit and annual operating and maintenance costs are estimated at $27,595 per year. The market demand for the parts is unlimited, all parts produced will be sold. The MARR of the firm is 10%.
The minimum annual production rate to make this investment justifiable is:
Enter your answer in this form: 12345.67
The minimum annual production rate to make this investment justifiable is:
Enter your answer in this form: 12345.67
plz answer this question if you 100% sure is correct
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