Mandel Manufacturing, Inc. has a manufacturing machine that needs attention. (Click the icon to view additional information.) Mandel expects the following net cash inflows from the two options: (Click the icon to view Present Vatue of 51 tatio.) (Click the icon to view the net cash flown.) Mandel uses straight-fine deproclation and requires an annual return of 10%. (Click the ioon lo view Presert Valus of Ordinary Aerwity of 51 tabie) (Click the icon to view Futire Valve of 51 table.) (Cick the keon to view Fufure Valbe of Ondinary Arnuity of St tabin) Read the recuirenents. Requirement 1. Compute the payback, the ARR, the NPV, and the profitabilty index of these two options Compute the payback for both options. Begin by comploting the payback schedule for Optien 1 (refurbish). (Rounid your antwer to one decima pioce) The poptack for Option 1 (rafurtios cument machine) is yean. Mandel Manufacturing. Inc. has a manufacturing machine that needs atsention. Now complebe the poybeck, schedule for Option 2 (purchase). (Roind your answer to one docimal place.) The payback for Oplicn? 2 (purehasie new erachino) is yeutr. Mandel Manufacturing, lnc. has a manufacturing machine that neods attention. Mandel Marufacturing, Ine, has a manufacturing machine that needs attention. Rerviaw your answers in Poeguerement 1. 12ardes stould thonse profitatitity kedec in Mandel Manulacturing, Inc, has a munufacturing machine that needs abension. [Click the icon to view addisonal infomtation.] Manow expects the following net cash intows from the two options: (Click the joon to vece Presint Veue of 51 tatie) (Click the icon ta view the net cash fows]. Mandel uses straight-Ine deprecialion and recuires an annual return Data table (Click the icon to varw Present Vulue of Orinary Antwafy oef More info The company is considering two options. Oplion 1 is to relutiah the current machine at a cost of 51,400,000. If rea utiohed, Mandel expects the machice to iast anditer eight years and than have no retidual value. Ootion 2 is to replace the mactine at a cost of 54,000,000. A new machine wovid last 10 years and have no residual valoe. (Hound your enswer to one decleal placen ) The peytack sor ovbon 1 (jeturtios cumsnt nathines in Reference Reference the of 51 tabio) of $1 lable of Ortinar, Anuty af 51 tioio) Reference sent Value of 51 triblo.) pone Valoe of Ondrary Annult of s1 tation por hin and at table) re Wilw of Ordinar(Amuly at St tatin ) Reference sent baliee of 11 table ) Frent Valye of Ordinar Ansify of 11 unel. we whise of 51 tation We Wilue of Prdanay Arnaty in 5t tabie)
