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Answer on Excel please A grocery, distribution center is considering whether to invest in RFID or bar code technology to track its inventory inside the
Answer on Excel please
A grocery, distribution center is considering whether to invest in RFID or bar code technology to track its inventory inside the warehouse and truck loading operations. The useful life of each system is five years, and residual value of zero. Bar code system: $140,000 up front cost $35,000 first year savings, increasing by $5,000 each year in years 25. RFID system: $230,000 up front cost $40,000 first year savings, increasing by $20,000 each year in years 2-5. Use Excel to determine which system should be selected. MARR is 15\%. a. Incremental present worth analysis b. Incremental rate of return analysis Step by Step Solution
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