Saxon products, incorporated, is investigating the purchase of a robot for use on the company assembly line. selected data relating to the robot are provided below. I only need help with.. requirement 2A, requirement 3A and requirement 4B.

Cost of the robot 5 1,550, eee Installation and software $ 405,000 Annual savings in inventory carrying costs $ 222,00 Annual increase in power and maintenance costs $ 42,000 Salvage value in 5 years $ 71,00 Useful life 5 years Engineering studies suggest that use of the robot will result in a savings of 23,000 direct labor-hours each year. The labor rate is $18 per hour. Also, the smoother work flow made possible by the use of automation will allow the company to reduce the amount of inventory on hand by $412,000. This inventory reduction will take place at the end of the first year of operation, the released funds will be available for use elsewhere in the company. Saxon Products has a 23% required rate of return. Click here to view Exhibit 14B-1 and Exhibit 14B-2. to determine the appropriate discount factor(s) using tables Required: 1. Determine the annual net cost savings if the robot is purchased. (Do not include the $412,000 hventory reduction or the salvage value in this computation.) 2-a. Compute the net present value of the proposed Investment in the robot 2-5. Based on these data, would you recommend that the robot be purchased? 3-a. Assume that the robot is purchased. However, due to unforeseen problems, software and installation costs were $87,000 more than estimated and direct labor could only be reduced by 18,500 hours per year, rather than the original estimate of 23,000 hours. Assuming that all other cost data is accurate, what would a postaudit suggest is the actual net present value of this Investment? 3-b. Does it appear that the company made a wise Investment? 4-a. Which of the following are intangible benefits associated with the new automated equipment? 4-6. Based on your analysis in Requirement 3 above, compute for the president the minimum dollar amount of annual cash inflow that would be needed from the benefits in part 4(a) for the automated equipment to yield a 23% rate of return $ EXHIBIT 14B-1 Present Value of ST. 1 (1+tin 1980 ISSO ESO 2650 LOPO OTHESSROOLCO 1900 DO TI LOD Periods 496 596 696 90 89 91. 1096 1196 129 1396 1496 1 1594 169 1796 0.962 0.95 090 0935 096 09170-909 0.901 0.893 1896 1990 219 2399 24 251 2 0.883 0.877 0.870 08620335 07100333 0826020083 0.06 0925 0.907 0.890 D 0.873 08570842 0826 0.120.197 0.73 0.769 0.756 0741 0.889 0.731 0.7180.70606060683 0.80 O $160.79 0.772 0.751 0.731 0.7120.693 067206 0.650 0,6 0.675 0,658 0.61 + 0.624 0.0 0.593 0.579 0.5640351 0587 0.3243 0,835 0.820.792 0.700.7550705 0.6 0.659 0.636 0613 0503168.4990452 0467 5 0457 0.822 0,784 0497 033 0.7471027130.0 10.600.621 10.59310367 04 050 0519 041 0.456 017041904402 6 0386 0.790 0.746 0.705 0.6660.60 0.5961 0.566 DSS10.5072 0.450 0/4560,2025041003900370 0:3520335 0819 001 7 0.7600.7110665060033 057 90.275 0.2 0513 0.462 0.452 0.423 0.400 0.37603541033303140.296.279 026 0.2490335 8 0220 0.71 0.6730670562050050200611000110376 0351 04201050 0.266 0.20 0.23 0.218 0.2010 191 0179 9 0.70000920.50 300 00420 0.19 00 010802000243 022 0.20 0.190 TOTOO:16 0.155 0.144 10 10 0.676061405 TOESON 06042 0.3863035200.29501002471022 0.20 0.191 10.160.100.116 0. ! 0.650 0.50270215 0.429 018 0150010270.261 0337033019501 0.10.2015 0.133 0.12 0.112.100.000 12 0.6250557 049 0356 01960257 0.21 020 0.180.160.1920 0.14 0.1120102 0.09 GON 0.601 030 0469 0415 0326 0.290 3581029 0.204 0.18 0.16301450 0.116 0.101 0.093 00840075 0.005 0.061 DO 14 0.57 0.3050-4420 02340 0.299 0.26 022 0.205 0.18 0.0 11 125000 DES BOTS 0.00 0.00 0055 0049 00 15 0.355 0.41 0.417 0362 0275 0339 0.209 0.183 0.160 0.140 0,12 TOR 0.005 00024 0.0650.052 0.051 0.0150.00 00 16 0.45 0.1920232 0210.188 0.16 0.141 0.131 0.107 0.093 OO 0071 006 0.0540017 0047 0 17 0 513 0.436 0371 03170270 0231 0.1950 1700146 0.125 0.108 0.093 0.030 0.0 0.0 0.0320045 0.019 0.014 0.030 0.02 00 18 0.491 0 416 02 50 0.296 0.250 0.212 0.180 0.13 0.10 0.111 0.095OONI 00690.059 0.051 001400 0.032 0.028 0.025 0.02 DE 19 0.475 02196 0331 02120.194 0.160.138 0.116 0.09 0.0 0.00 0.00 0.01 0.03 0.0370031 0.02 0.02 0.0200.011 016 20 0356 0377 0.312 0258 0215 0.17 0.149 0.1240104 D.087 0.073 0.06 0.031 0041 0 0.031 0.0160.014 21 0.359 0.291 0242 0.199 0.164 0.1330 1120093 0.064 0.035 0.014 037 0.031 0.02002 BOIB 0.015 2013 0011 0 22 0422 0.342 0.278 0.2261541500.123 0.101 003 070600560.06 0.0080032 00:26 0022 0.01 0.035 0.013 0.011 23 0326 0.262021 0.406 0.1700.138 0.112 0.091 0.074 0000270022 0.0180013 0.019 0 0.0120.000 0.00 0.00 24 0197 0.15 013100247 0,1260102 0.02 0.066 0.053 DOO 0035 0.02 0.003 0.0190.005 0.00 0.00 0.00 0.007 25 0.375 0950.233 01180 0.14610 16 00920024 0.0591100471001S00300.0240000016000OO0.009A0007 0.006 0.00 GEOMO 9810 El 00 SIEO CEO O 900 PESO GEEOED So LLEO 6100 LOGO 200 YO OTO 00 6000 10 0.2010 01010 20 1100 0390 30 EXHIBITI Present Value of an Annuity of St in Arrears III) 5160 ESSE 1.95 96926 9 3685 3167 0911 3 + COS 00 TIS SE2897 SEOT 193 0995 1191 Periods 496 6 796 84 996 105 115 1256 135 14% 1 15% 004 1994 0.962 1696 0952 1898 1996 215 204 22 09260 23. 249 25 0.9090901 0.493. DBS 0.8720870086210.85508470402082303260320 0813 ONOG 02 2 1.886 13850 ESOS 15783 1.759 1736 10 1.690 1663 1647 1 1.626 1603 1685 1666 15421528 1.50) 2715272 2673 14 2.624 22577 1492 1141457 2331 2487 2444 2:4022361 2022 2283 2224621021142140122106 2074 2.042 + 3.546 2011 3.610 3465 19 315 3312 3.240 3:170 3.102 3.03729742914 2855 2.7982 743 2.0902.639 2599 2.500 2.4912448 2400 3 4,452 4329 4212 4.100 3.993 3.890 3.791 346053517 3:433 3352 3.2743.1993.127 3202 3.058 2.991 2.926 491 28672803237455 26 3.076 4.76 4633 4,486 455 4111 3.99% 3889 3.784 3.5893495 3.410 3.3263024 1 3.092302029 6 002 5.786 5552 5.8952206 5.03 4868 4.712 456840333285 40593 392238812 37063.605 115083316 332732073.1 5 6.73 6.163 6210 5971 5747 5509 5335 5:16 4968 4.299 4.639 4,457 434442074078103954 38373726 3619 3518 320 33 9 7435 7.108 6513 6.247 5.995 5.759 $50 53383732 494647724,607 4451 4.703 4.163 4031 3.905 3.786 37673 3566 7.722 7360 7.0356710 6.418 6.1455899 5.650 52426 5216 5:019 4833 4659 4494411911924050302313799 11 8.700 306 7.68 799 7.139 6.503 6956207 51933566754503234 30294.8364.656 4.48643274.177 3.902 16 12 9.383 8.154 7793 73336 7.161 68146492 6145.918 5421 5.1974,95 4793 44394.278 4127 3.98 3.851 3.7. 13 9.986 0394 5550 8.15 7.907487 72103 6.750 642461225.8423335341 5.11849104571543334.362 42034053 191237 14 10.5639.899 9. 8.743 8.244 7.786 7.3676.980 6102 6.002 357245.465 5229 3.00 +3024611 412 +265 4.108 1.962 15 1111810380 9.712 9.108 359 8061 686 46261033184 5.575.3243.924,576 467544894315 4.1534001 3.8 16 11.652 10.83 10 1069.457 31378202379 69706760483934 5,668 5.4055.624.935 4.7305364357 4189 2033 17 12.166 11:27410.4779.763 9.122 8544 8032 7349 7.12067296373 600 5.7493473592224990 4.75 +57643914219 4059 19 18 12.65911.690 10.528 10.05991372 3.756 201 7.702 7.250 68406 467 61285.818 55343273 38334812 4.6084419 424 4050 3.9 19 13.154 12.05 11:15 10136 9.604 8950 8365 7.8397366693863506.1983.877 5.5843165607048494635 4462 4.263.097 20 13 390 12.462 114701065949.818 9.129 8514 7963 7869 7025662 6.259 5.99563815353 3.10 4.870 4657 160 42794.110 21 14.029 128211764 1036 10.017 9.192 75627.10266876312 5973 56655384 512743914.675 476 42924121 22 8.772 14.451 13.163 12.042 11.061 1002019.442 8176 76457.170 6.7436350 4,690 601115696 5410 5139 1409 4.488 43024130 81 4.499 2.718723067926399 045.723542516749354703 4311 197 14.857 13.489 12 103 112221037192380 30 8345 15.247 13.799 12350 11.469 10.329 9.707 7784736815 6.634 60725.74654513182 4.93 47134 507 114 4318 25 6.466 494 15,632 14.09412.78311 654 106759.8039.07784227.84373306873 60975.766 5:4673.195 4.721 4.514 4.323 4.147 712 GR1 2 + RE 1612-9092 LSET RE ISS EES 6198 SLOS DE DE te 8.266 89 TUT