Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Hola can you help me with the conclusion of mu homework for Economy class. Thanks I have done the answers but dont have the conclusion.
Hola can you help me with the conclusion of mu homework for Economy class. Thanks
I have done the answers but dont have the conclusion.
A company is considering replacing a broken inspection machine, which has been used to test the mechanical strength of electrical insulators, with a newer and more efficient one. The company uses an internal rate of return of 9%.
The conditions for the replacement analysis are summarized in the following:
Old Machine n Repair Value Salvage Value O&M CR(9%) OC(9%) AEC(9%) O $1,200 $5,000 1 $4,000 $2,000 $2,758 $2,000 $4.758 2 $3,000 $3,500 $2,089 $2,718 $4.807 3 $2,000 $5.000 $1,839 $3,414 $5.253 4 $1,000 $6.500 $1,695 $4.089 $5,784 5 $O $8,000 $1,594 $4,742 $6,336 New Machine n Investment Salvage Value O&M CR(9%) OC(9%) AEC(9%) $10,000 $6,000 1 $5,100 $2,000 $5,800 $2,000 $7,800 2 $4,335 $2,800 $3,611 $2,382 $5,993 3 $3,685 $3,600 $2.826 $2.754 $5,580 4 $3,132 $4,400 $2,402 $3,114 $5,516 5 $2,662 $5,200 $2,126 $3,463 $5,589Step 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