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please help all parts I'm not sure we should lay out $290,000 for that automated welding machine, said Jim Alder, president of the Superior Equipment

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I'm not sure we should lay out $290,000 for that automated welding machine," said Jim Alder, president of the Superior Equipment Company. "That's a lot of money, and it would cost us $82,000 for software and installation, and another $45,600 per year just to maintain the thing In addition, the manufacturer admits it would cost $45,000 more at the end of three years to replace wom-out parts." "I admit it's a lot of money." said Franci Rogers, the controller. "But you know the turnover problem we've had with the welding crew. This machine would replace six welders at a cost savings of $112,000 per year. And we would save another $7,300 per year in reduced material waste. When you figure that the automated welder would last for six years, I'm sure the return would be greater than our 15% required rate of retum." I'm stil not convinced countered Mt Alder. "We can only get $16,000 scrap value out of our old welding equipment if we sell it now, and in six years the new machine will only be worth $28,000 for parts. But have your people work up the figures and we'll talk about them at the executive committee meeting tomorrow." Click here to view Exhibit 138-1 and Exhibit 13B-2. to determine the appropriate discount factors) using tables. Required: 1. Compute the annual net cost savings promised by the automated welding machine. 2. Using the data from (Tabove and other data from the problem, compute the automated welding machine's net present value. 2b. Would you recommend purchasing the automated welding machine? 3. Assume that management can identify several intangible benefits associated with the automated welding machine, including greater flexibility in shifting from one type of product to another, improved quality of output, and faster delivery as a result of reduced throughput time. What minimum dollar value per year would management have to attach to these intangible benefits in order to make the new welding machine an acceptable investment? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 28 Req3 Compute the annual net cost savings promised by the automated welding machine. Reg 2A > "I'm not sure we should lay out Company. "That's a lot of money, and it would cost us $82,000 for software and ins maintain the thing. In addition, the manufacturer admits it would cost $45,000 more at the end of three years to replace w parts "I admit it's a lot of money," said Franci Rogers, the controller. "But you know the turnover problem we've had with the wela This machine would replace six welders at a cost savings of $112,000 per year. And we would save another $7,300 per yea material waste. When you figure that the automated welder would last for six years, I'm sure the return would be greater th required rate of return." I'm still not convinced countered Mr. Alder. "We can only get $16,000 scrap value out of our old welding equipment if we and in six years the new machine will only be worth $28,000 for parts. But have your people work up the figures and we'll them at the executive committee meeting tomorrow." Click here to view Exhibit 138.1 and Exhibit 138-2. to determine the appropriate discount factor(s) using tables. Required: 1. Compute the annual net cost savings promised by the automated welding machine. 2a. Using the data from (1) above and other data from the problem, compute the automated welding machine's net present 2b. Would you recommend purchasing the automated welding machine? 3. Assume that management can identify several intangible benefits associated with the automated welding machine, inclus greater flexibility in shifting from one type of product to another, improved quality of output, and faster delivery as a result of throughput time. What minimum dollar value per year would management have to attach to these intangible benefits in orde the new welding machine an acceptable investment? Complete this question by entering your answers in the tabs below. Reg 1 Ke 2A Reg 28 Reg 3 Using the data from (1) above and other data from the problem, compute the automated welding machine's net present value. (Enter negative amount with a minus sign. Round your final answer to the nearest whole dollar amount.) Nel present value Tm not sure we should layout $290,000 for that automated welding machine," said Jim Alder, president of the Superior Equipmen Company. That's a lot of money, and it would cost us $82,000 for software and installation, and another $45,600 per year just to maintain the thing. In addition, the manufacturer admits it would cost $45,000 more at the end of three years to replace wom-out parts "ladet's a lot of money," said Francl Rogers, the controller "But you know the turnover problem we've had with the welding crev This machine would replace six welders at a cost savings of $112,000 per year. And we would save another $7,300 per year in redu material waste. When you figure that the automated welder would last for six years, I'm sure the return would be greater than our 15 required rate of return." I'm still not convinced." countered Mr. Alder "We can only get $16.000 scrap value out of our old welding equipment if we sell it na and in six years the new machine will only be worth $28,000 for parts. But have your people work up the figures and we'll talk abou them at the executive committee meeting tomorrow Click here to view Exhibit 138.1 and Exhibit 138.2. to determine the appropriate discount factor(s) using tables. Required: 1. Compute the annual net cost savings promised by the automated welding machine 2. Using the data from (1) above and other data from the problem, compute the automated welding machine's net present value. 2b. Would you recommend purchasing the automated welding machine? 3. Assume that management can identify several intangible benefits associated with the automated welding machine, including greater flexibility in shifting from one type of product to another, improved quality of output, and faster delivery as a result of reduce throughout time. What minimum dollar value per year would management have to attach to these intangible benefits in order to ma the new welding machine an acceptable investment? Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Reg 26 Reqs Would you recommend purchasing the automated welding machine? Yes ONO Im not sure we should ompany "That's a lot of money, and it would maintain the thing. In addition, the manufacturer admits it would cost $45.0 arts. admit it's a lot of money." said Franci Rogers, the controller. But you know the turnover problem we've had with the weld his machine would replace six welders at a cost savings of $112,000 per year. And we would save another $7,300 per yea material waste. When you figure that the automated welder would last for six years, I'm sure the return would be greater th equired rate of return." I'm still not convinced countered Mr. Alder "We can only get $16,000 scrap value out of our old welding equipment if we nd in six years the new machine will only be worth $28,000 for parts. But have your people work up the figures and we'll her at the executive committee meeting tomorrow." Click here to view Exhibit 138.1 and Exhibit 138.2. to determine the appropriate discount factor(s) using tables. Required: Compute the annual net cost savings promised by the automated welding machine. 2. Using the data from (1) above and other data from the problem, compute the automated welding machine's net present 2b. Would you recommend purchasing the automated welding machine? 3. Assume that management can identify several intangible benefits associated with the automated welding machine, inclus greater flexibility in shifting from one type of product to another, improved quality of output, and faster delivery as a result o hroughout time. What minimum dollar value per year would management have to attach to these intangible benefits in ord- the new welding machine an acceptable investment? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 28 Reels Assume that management can identify several intangible benefits associated with the automated welding machine, including greater flexibility in shifting from one type of product to another, Improved quality of output, and faster delivery as a result of reduced throughput time. What minimum dollar value per year would management have to attach to these intangible benefits in order to make the new welding machine an acceptable investment? (Round your final answer to the nearest whole dollar amount.) Show less Minimum dollar value of intangible benefits

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