can you please provide a correct answer to this questions please i posted it before and those are the answers i got. please help me find an answer to each of the problem. thank you
Net Present Value Method-Annuity 0.893 Briggs Excavation Company is planning an investment of 5555.400 for a bulldozer The bulldozer is expected to operate for 2,000 hours per year for echt years, Customers will be charged 5120 per hour for bulldozer work. The bulldozer operator costs $29 per hour in wages and benefits. The bulldozer is expected to requirit annual maintenance costing 320,000. The bulldozer uses fuel that is expected to cost $38 per hour of buldor operation Present Value of an Annuity of $1 at Compound Interest Year 6% 109 12% 15% 20% 1 0.943 0.909 0.870 0.833 2 1833 1.736 1.690 1.528 3 2.623 2.487 2.402 2.283 2.106 4 3.465 3.170 3.00 2.555 2.589 5 4.212 3.791 3.605 3.353 2.99 4,917 4.355 4.111 1.285 3.326 7 5.582 4.858 4564 4.160 3.605 8 6.210 5:335 4.965 3.837 9 6302 5.750 5.125 4772 10 2.360 6.145 5.650 5.019 4.192 a. Determine the equal amual net cash flows from operating the bulloner. Use a minus sign to catecash out how Briggs Excavation Company Equal Annual Net Cash Flows Casino Book Briggs Excavation Company Equal Annual Net Cash Flows Cash inflows: Maintenance costs per year X 20 XS 120 240,000 2.000 Labor cost per hour X Fuel and labor costs per year X Cash outflows: Hours of operation Fuel cost per hour Annual net cash flows Total fuel and labor costs per hour X Fuel and labor costs per year 2,000 20,000 X $ 154,000 X 76,000 X Maintenance costs per year 20,000 X Annual net cash flows 8690 Feedback Check My Work a. Subtract the operating expenses (hourly fuel and labor costs, multiplied by the operating hours, plus the annual maintenance costs) from the revenues (operating hours multiplied by the hourly revenue). Learning Objective 3. Check My Work 3 more Check My Work uses remaining Previous b. Determine the net present value of the investment, assuming that the desired rate of return is 6%. Use the present value of an annuity of $1 table above. Round to the nearest dollar. If required, use the minus sign to indicate a negative net present value. Present value of annual net cash flows 534,060 Amount to be invested 555,400 Net present value -21,340 c. Should Briggs Excavation invest in the bulldozer, based on this analysis? Nov , because the bulldozer cost is more than the present value of the cash flows at the minimum desired rate of return of 6% d. Determine the number of operating hours such that the present value of cash flows eals the amount to be invested. Round interim calculations and final answer to the nearest whole number 2,065 X hours Back My Won b. Multiply the annual net cash flow by the present value of an annuity factor and subtract the amount to be invested. C. Which is more favorable? d. Set up an equation to solve for hours Learning Objective a
