gaxpandirg ta preducton capacity by purchaing anaw machina,the xC-D. Tha co of the XC-0 I:2.74 millon Unnaunataly Instaling this machina taka savaral manths and wiI partally disupt production. The tirm hs Just complatad a 548 00u tazaiblity study to anaze tha decision to buy the XC-750 resuling in the following estimstes ce a ons: The dorupton caused by te instalat on il decrease " cs by $5.09 milion his year. Ms Olingha ting product the cost of goods or the products produced by the XC 750 G expected to be 70% of the sale price The s c Aco ntng. The XC 750 wil be depreciated v he stragr ne me o a. Datermina tha incrmntal samings from tha purchaa a tha XC-T50 b. Determihc the free cahlow from h purchac oft XC 750 ver the 10-year fe o the machine The rm e pects rece vst les om he newales 10 be 16% o revenues an payables to be 11% o he cos oods sold Bilin em's arunal corporate tax r te 5%. d. While the expectad naw ales wil be 510 2U millon paryear trom tha apansion, stmatas range fram S8 10 milicn to $12 30 milion. What i the NPV In the warst casa In the beat casa e. What is the break-even level cfnew sales from the expansion? What is the breakeven level for the rost oigoods sold? tha XC 750) per year in those years would juzify purchaaing the larger machinc? a. Datarmina tha incramntal saminga trom tha purcha a tha xC-50 Calculate the incremental earnings from the purchase of the XC 750 below (with vs. without XC7750. Round to the nearest colar. Incremental Ettects Sales Revenues Taxes at 35% Enter any number in the edit fields and then cick Check Aewe 12 remaining Clear Al Check Answer gaxpandirg ta preducton capacity by purchaing anaw machina,the xC-D. Tha co of the XC-0 I:2.74 millon Unnaunataly Instaling this machina taka savaral manths and wiI partally disupt production. The tirm hs Just complatad a 548 00u tazaiblity study to anaze tha decision to buy the XC-750 resuling in the following estimstes ce a ons: The dorupton caused by te instalat on il decrease " cs by $5.09 milion his year. Ms Olingha ting product the cost of goods or the products produced by the XC 750 G expected to be 70% of the sale price The s c Aco ntng. The XC 750 wil be depreciated v he stragr ne me o a. Datermina tha incrmntal samings from tha purchaa a tha XC-T50 b. Determihc the free cahlow from h purchac oft XC 750 ver the 10-year fe o the machine The rm e pects rece vst les om he newales 10 be 16% o revenues an payables to be 11% o he cos oods sold Bilin em's arunal corporate tax r te 5%. d. While the expectad naw ales wil be 510 2U millon paryear trom tha apansion, stmatas range fram S8 10 milicn to $12 30 milion. What i the NPV In the warst casa In the beat casa e. What is the break-even level cfnew sales from the expansion? What is the breakeven level for the rost oigoods sold? tha XC 750) per year in those years would juzify purchaaing the larger machinc? a. Datarmina tha incramntal saminga trom tha purcha a tha xC-50 Calculate the incremental earnings from the purchase of the XC 750 below (with vs. without XC7750. Round to the nearest colar. Incremental Ettects Sales Revenues Taxes at 35% Enter any number in the edit fields and then cick Check Aewe 12 remaining Clear Al Check
