Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Q.1.1. Dokdiam Sdn Bhd is contemplating of buying a new heating machine Panaskan, for RM470000. The operating and maintenance costs will be RM65000 for the
Q.1.1. Dokdiam Sdn Bhd is contemplating of buying a new heating machine Panaskan, for RM470000. The operating and maintenance costs will be RM65000 for the first year and that they will increase by RM10000 per year. The estimated salvage value at the end of 5th year is RM150000. MARR of the company is 7%. Q.1.1.a. Calculate the CR of the Panaskan. (4 marks) Format : 246962 Q.1.1.b. Calculate the AEC of the . (7 marks) Format : 804983 Q.1.2.a. The current heating machine in use has a market value of RM410000. The operating and maintenance costs for the next 5 years are RM180000 per year with salvage value of RM10000. Draw the cash flow diagram and calculate the present worth of the defender. Use Opportunity Costs Approach for your calculations. (9 marks). Format : 9620208 Q.1.2.b. What is the AEC for the old heating machine for the next 5 years ? (3 marks) Format : 207649 Q.1.2.c. Should you replace now? Why? Write your reason in the workings to be submitted. (2 marks) Format : XXX Q.1.1. Dokdiam Sdn Bhd is contemplating of buying a new heating machine Panaskan, for RM470000. The operating and maintenance costs will be RM65000 for the first year and that they will increase by RM10000 per year. The estimated salvage value at the end of 5th year is RM150000. MARR of the company is 7%. Q.1.1.a. Calculate the CR of the Panaskan. (4 marks) Format : 246962 Q.1.1.b. Calculate the AEC of the . (7 marks) Format : 804983 Q.1.2.a. The current heating machine in use has a market value of RM410000. The operating and maintenance costs for the next 5 years are RM180000 per year with salvage value of RM10000. Draw the cash flow diagram and calculate the present worth of the defender. Use Opportunity Costs Approach for your calculations. (9 marks). Format : 9620208 Q.1.2.b. What is the AEC for the old heating machine for the next 5 years ? (3 marks) Format : 207649 Q.1.2.c. Should you replace now? Why? Write your reason in the workings to be submitted. (2 marks) Format : XXX
Step 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