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ABC Manufacturing lost $43,000 last year due to server failures. The addition of Uninterrupted Power Supplies (UPS) costs $5,820 per unit with an expected need

ABC Manufacturing lost $43,000 last year due to server failures. The addition of Uninterrupted Power Supplies (UPS) costs $5,820 per unit with an expected need of 5 units. Each unit has a $80 yearly maintenance fee for a life expectancy of 10 years. It is estimated, due to UPS failure, that ABC would only lose $9,550 if the control is implemented.

What is the projected benefit for ABC Manufacturing? Should they implement the addition of UPS at their organization, why or why not?

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