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i need just question 2 and ignore the schaduale thank you Exam 2 Page1 BSEN 206. Engineering Economy Name: Naha Als Please answer the tollowing
i need just question 2 and ignore the schaduale
thank you
Exam 2 Page1 BSEN 206. Engineering Economy Name: Naha Als Please answer the tollowing questions as indicated in the space provided. You may use your textbook and any notes in answering the questions. Each question is worth 20 pts. 1. A piece of equipment is purchased that has a $100,000 purchase price, has $35,000 in annual income, and a $25,000 salvage value after 6 years. depreciation as shown below. If a combined tax rateof 34% tax rate is used, calculate the after-tax cash flow for this purchase (20 pts). The company uses straight-line 10 um? Oos i-757? 2 The initial price of a new delivery van is $30,000. It is expected to cost approximately $2500 per year in operating and maintenance each year for it's 10-year life span. The salvage value for the van is expected to be: $7500 with probability 0.3; $4000 with probability 0.5; or $1000 with probability 0.2. Calculate the expected EUAC for this purchase if the MARR is 15%. DEP BV Taxable INC TAX ATCF YE100,000 250035,000 0 27860 278o 3 | 35,000 | 14,000 162Soo |owo | 7140 | 2rRo $14,000 750 14,000 175000 luo 000-2 40 2 35,000 14,000 35,000 35,000 14,000 3750) 35,000 25,000 14,000 50 14 6 6 s -21 95 Scanned by CamScanner
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