Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Excel spreadsheet is required. Thanks for helping me out! FX, Inc. is a volume manufacturer of high technology automotive mirrors (including cell link and voice
Excel spreadsheet is required. Thanks for helping me out!
FX, Inc. is a volume manufacturer of high technology automotive mirrors (including cell link and voice activation). FX is looking to expand its operations to add a second product. The equipment investment cost for this new operation is $125,000. The project falls under a 7-year MACRS class life and the company estimates that the salvage value will be $50,000 at the end of the 5-year project. The annual revenue for the new line is $100,000. The annual manufacturing costs are listed below: Labor: $20,000 Materials: $12,000 Maintenance: $8,000 The income tax rate is 40% and the MARR is 15%. Excel Questions: 1. If the annual revenue for the new line is defined over a range of $90,000 to $125,000 and is triangular distributed, provide an output histogram of the NPV value (use 250 iterations). FX, Inc. is a volume manufacturer of high technology automotive mirrors (including cell link and voice activation). FX is looking to expand its operations to add a second product. The equipment investment cost for this new operation is $125,000. The project falls under a 7-year MACRS class life and the company estimates that the salvage value will be $50,000 at the end of the 5-year project. The annual revenue for the new line is $100,000. The annual manufacturing costs are listed below: Labor: $20,000 Materials: $12,000 Maintenance: $8,000 The income tax rate is 40% and the MARR is 15%. Excel Questions: 1. If the annual revenue for the new line is defined over a range of $90,000 to $125,000 and is triangular distributed, provide an output histogram of the NPV value (use 250 iterations)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