Wentworth plc

Wentworth plc manufacturers speciality wooden puzzles. They have been in operation for over 20 years and have recently noticed a significant increase in machine breakdowns. Because of this the production manager, Robin Street, has recommended the purchase of a new machine.

Robin Street has put together data for two different machines:

Machine 1 is the Country House Special. It is manufactured in the UK and can be ready for delivery 1 month after the order is placed.

Machine 2 is the Greylag.It is manufactured in India and can be ready for delivery 4 months after the order is placed.

Machine -1-- Country Machine 2 -. House Special Greylage Initial investment E180,000 (E220,000 Cash Inflows: Year 1 $40,000 E20,000 Year 20 $60,000 $40,000 Year-30 $80,000 $80,000 Year 40 $40,000 $120,000 Year 50 E40,000 $125,000 Year 60 E20,000