Solve the following Activities (Cost Element) Initial Cost (RM) Yearly Power Consumption Cost (RM) Annual maintenance cost
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Activities (Cost Element) Initial Cost (RM) Yearly Power Consumption Cost (RM) Annual maintenance cost (RM) Annual Operational Cost (RM) Expected resale value at the end-of-life span (RM) Organisation's average Return on Investment Bank Negara Base Lending Rate (BLR) Expected life span Transformer X 780,000 25,000 12,000 20,000 78,000 Transformer Y 700,000 30,000 20,000 30,000 70,000 5% per annum 4% per annum Transformer Z 600,000 45,000 30,000 40,000 60,000 20 years 20 years 20 years Info: Electricity rate: i- commercial =RM 0.40 per kWh; ii-domestic = RM 0.20 per kWh Above are the expected data for electrical transformers in December 2023. For a strategic planning reason, you are required to decide before end of December 2022. Determine the best option for the above alternative purchase of transformers. Activities (Cost Element) Initial Cost (RM) Yearly Power Consumption Cost (RM) Annual maintenance cost (RM) Annual Operational Cost (RM) Expected resale value at the end-of-life span (RM) Organisation's average Return on Investment Bank Negara Base Lending Rate (BLR) Expected life span Transformer X 780,000 25,000 12,000 20,000 78,000 Transformer Y 700,000 30,000 20,000 30,000 70,000 5% per annum 4% per annum Transformer Z 600,000 45,000 30,000 40,000 60,000 20 years 20 years 20 years Info: Electricity rate: i- commercial =RM 0.40 per kWh; ii-domestic = RM 0.20 per kWh Above are the expected data for electrical transformers in December 2023. For a strategic planning reason, you are required to decide before end of December 2022. Determine the best option for the above alternative purchase of transformers.
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Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
Posted Date:
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