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Intervo Mfg. is currently paying $25 each for a worm gear used in their products. They could make the same gears in-house for $5 each
Intervo Mfg. is currently paying $25 each for a worm gear used in their products. They could make the same gears in-house for $5 each if they purchased $160,000 worth of equipment and spent $65,000 per year for operating and maintenance costs. For projects such as these, Intervo uses a 5-year project life and an MARR of 12% per year. How many worm gears would they have to make each year in order to justify buying the equipment?
please I need you help ASAP ,,,, Thanks
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