Question
About 1.2 million additional advanced robots are expected to be deployed in the U.S. by 2025, Boston Consulting Group says. Four industries will lead the
"About 1.2 million additional advanced robots are expected to be deployed in the U.S. by 2025, Boston Consulting Group says. Four industries will lead the shift computer and electronics products; electrical equipment and appliances; transportation; and machinery largely because more of their tasks can be automated and they deliver the biggest cost savings." (Davidson, Paul. More robots coming to U.S. factories USA TODAY, February 9, 2015)
The systems (Robot X and Robot Y) shown below are under consideration for an improvement to an automated packaging process. Determine which should be selected on the basis of an Annual Worth Analysis using an interest rate of 10% per year.
| Robot X | Robot Y |
First cost, $ | 250,000 | 155,000 |
Annual cost, $/year | 4,000 | 3,000 |
Salvage value, $ | 40,000 | 25,000 |
Life, years | 3 | 2 |
**The answers presented below were calculated using the appropriate factors from interest tables including all their decimal places**
Question 1 options:
Select Robot Y with AWy= $-80,405 | |
Select Robot X with AWx= $-74,405 | |
Select Robot X with AWx= $-92,443 | |
Select Robot Y with AWy= $-84,443 |
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