Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Oct 06, 2024

Calculate the price of a new system if Probability of System Crash = 20% Cost of System Crash = 100,000 Hours of Operation = 2,500

Calculate the price of a new system if

Probability of System Crash = 20%

Cost of System Crash = 100,000

Hours of Operation = 2,500

Operational Cost per Hour = 10

(The answer given is 75,000 but I don't understand how)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Valuation Measuring and managing the values of companies

Authors: Mckinsey, Tim Koller, Marc Goedhart, David Wessel

5th edition

978-0470424650, 9780470889930, 470424656, 470889934, 978-047042470

More Books

Students also viewed these Finance questions

Question

★★★★★

Consider the series queue with blocking we discussed in class (simple sequential two-station, single-server-at-each-station model, where no queue is allowed to form at either station.) Using...

Answered: 1 week ago

Question

★★★★★

a) Explain why the Internet has a hierarchical routing architecture. (Hint: Think Inter-AS and Intra-AS structures!) b) A datagram packet can be split into pieces on the way from computer A to...

Answered: 1 week ago

Question

★★★★★

What can you tell about each employer from the code of conduct?

Answered: 1 week ago

Question

★★★★★

A payroll summary for Mark Consulting Company, owned by Mark Fronke, for the quarter ending June 30, 2016, appears on page 360. The firm made the required tax deposits as follows: a. For April taxes,...

Answered: 1 week ago

Question

★★★★★

Derek decides to buy a new car. The dealership offers him a choice of paying $547.00 per month for 5 years (with the first payment due next month) or paying some $28,841.00 today. He can borrow money...

Answered: 1 week ago

Question

★★★★★

Based on the attached performance report for the quarter ended March 31, Year 2, a. Prepare a flexible budget, b. Prepare the sales activity variance, Buns Bakery Performance Report For the Quarter...

Answered: 1 week ago

Question

★★★★★

Carla Vista Company manufactures bowling balls through two processes: Molding and Packaging. In the Molding Department, the urethane, rubber, plastics, and other materials are molded into bowling...

Answered: 1 week ago

Question

★★★★★

tell me if part a and c converge conditionally, converge absolutely, or diverge and show steps CoursHeroTranscribedText (a) (-1) +1 n=1 () (c) n=2 cos() 1 - n n5+5

Answered: 1 week ago

Question

★★★★★

d. You would also like to know which states tend to experience the longest departure delays. Create a map that visualizes the departure delay that you can expect in each origin state. Allow the user...

Answered: 1 week ago

Question

★★★★★

Cayman Inc. bought 30% of Maya Company on January 1, 2018 for $450,000. The equity method of accounting was used. The book value and fair value of the net assets of Maya on that date were $1,500,000....

Answered: 1 week ago

Question

★★★★★

Regarding the importance of management and leadership in projects, all the following statements are false except which one? This type of question contains radio buttons and checkboxes for selection...

Answered: 1 week ago

Previous Question Next Question