st the yellow boxes 11. He g Al gives his worker's a one hour lunch and two Steen minute breaks each day He believes that a cald sada machine would be appreciated by his workers, and an apprecated worker is a good worker ced a machine as a national member only warehouse for $1,850. The machine should be usable which it would be inefficient, cbsolete and would have to be disposed of at the 37 dump Big Al beliems that 8 cans a day will be purchased. The plant is open five days a week, 501 10 weeks per year A case of soda (24 cana) costs $6.24 and thig Al believes that a price of $30 per can would win him good will What is the estimated annual sales in cans of soda? What is the contribution marge per can of soda? rounded to two places, 5) (1701) (1782) How many cana of soda must be sold each year to breaken? (Round up to res places, cans) Annual incremental cash flows hom the soda machine? bonded to bau places, S Nenal cemental cash indows from the soda machine? (rounded to two places, S (1703) 1700 (1704) What is the payback period in years? (rounded to two places, # years) (1705) the time value of money is 12% per year what is the net present value? Use the tales on page 18 (1706) What is the temal rate of retum Pick the closest rest rate for the 1s on page 10 (1707) 8 9 Big Al gives his worker's a one hour lunch and two fifteen minute breaks each day. He believes that a 10 cold soda machine would be appreciated by his workers, and an appreciated worker is a good worker. 11 He has priced a machine at a national member only warehouse for $1,850. The machine should be 16 usable for 5 years, after which it would be inefficient, obsolete and would have to be disposed of at the 17 dump. Big Al believes that 8 cans a day will be purchased. The plant is open five days a week, 50 18 weeks per year. A case of soda (24 cans) costs $6.24 and Big Al believes that a price of 5.90 per 19 can would win him good will. 20 25 What is the estimated annual sales in cans of soda? 26 27 1.800 cans (17.01) 28 29 What is the contribution margin per can of soda? (rounded to two places, $# ##) 34 35 36 37 $ 0.64 (17.02) 38 43 How many cans of soda must be sold each year to breakeven? (Round up to zero places, ### ### cans) 44 45 46 47 577 cans (17.03) 52 53 Annual incremental cash inflows from the soda machine? (rounded to two places, $# ##) 54 55 56 61 62 63 1.275.84 (1704) 56 61 62 63 $ 1.275.84 (17.04} What is the payback period in years? (rounded to two places, ### years) 70 71 72 73 74 79 1.45 years (17.05) 80 81 If the time value of money is 12% per year what is the net present value? Use the tables on page 18 82 83 88 89 90 91 $ 2,749.15 (17.06) 92 93 What is the internal rate of return Pick the closest interest rate from the tables on page 18. 94 95 96 97 98 99 100 101 105 242687.00% (17.07)