Question: A new machine will cost $ 18,000, but result it will in savings of $ 2,400 per year. What will the payback time be in

A new machine will cost $ 18,000, but result it will in savings of $ 2,400 per year. What will the payback time be in years?

Step by Step Solution

★★★★★

3.36 Rating (183 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Given New equipment init... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

372-B-M-L-O-M (2990).docx

120 KBs Word File

Students Have Also Explored These Related Management Leadership Questions!

Q:

A new machine will cost $25,000. The machine is expected to last 4 years and has no salvage value . If the interest rate is 12%, determine the return and the risk associated with the purchase. 0.3...

Q:

A new machine will cost $25,000. The machine is expected to last 4 years and has no salvage value . If the interest rate is 12%, determine the return and the risk associated with the purchase. 0.3...

Q:

A new machine that will lead to savings in labour costs of $16,000 per year can be purchased for $52,000. However, it will cost $1500 per year for the first four years and $2500 per year for the next...

Q:

John Whiteck, financial vice president of Fox River Telephone Company, has just begun reviewing the minutes of the companys November 2016 board of directors meeting. The major topic discussed at the...

Q:

answer these questions please, thank you! 24. Bravo Pty Ltd is considering the addition of a new product line. The new product will require an i tiai capital outtay 01 $70 000 and is expected to have...

Q:

Kathy Myers frequently purchases stocks and bonds, but she is uncertain how to determine the rate of return that she is earning. For example, three years ago she paid $17,000 for 910 shares of Malti...

Q:

\fEngineering Economy Chapter 11: Breakeven and Sensitivity Analysis The objective of Chapter 11 is to illustrate breakeven and sensitivity methods for investigating variability in outcomes of...

Q:

Check my work The management of Kunkel Company is considering the purchase of a $41,000 machine that would reduce operating costs by $9,000 per year. At the end of the machine's five-year useful...

Q:

\fEngineering Economy Chapter 11: Breakeven and Sensitivity Analysis The objective of Chapter 11 is to illustrate breakeven and sensitivity methods for investigating variability in outcomes of...

Q:

Prepare cash flow statement using the indirect method. Show all workings Statement of Comprehensive Income for the year ended 28 February 2021 R Question 1 [40 Marks] Revenue Drip Tech Private...

Q:

If the A/F ratio is larger than stoichiometric is it more or less reversible?

Q:

Comparative consolidated balance sheet data for Iverson, Inc., and its 80 percent-owned subsidiary Oakley Co. follow: Cash Accounts receivable (net) Merchandise inventory Buildings and equipment...

Q:

What is the minimum period of notice which must be given to the members of a limited company who are entitled to be present and vote in person or by proxy at an EGM to pass an ordinary resolution? A...

Q:

The depth of any research can be judged by: A. title of the research. B. * objectives of the research. C. total expenditure on the research. D. duration of the research.

Q:

Consider the processing of the Northern (cold water) shrimp. They' are caught off the East and West coast, be-headed at sea and frozen or iced, and then further processed on shore. Consider a...

Q:

An air-conditioning repair department manager has compiled data on the primary reason for 41 service calls during the previous week, as shown on the next page. Using the data, make a check sheet for...

Q:

Prepare a run chart for the number of defective computer monitors produced in a plant shown below. Workers are given a 15-minute break at 10:15 A.M. and 3:15 P.M., and a lunch break at noon. What can...

Q:

Suppose X1, ..., Xn are iid random vectors from No(u, E) with E being known and positive definite. Our interest is to make inference on the unknown vector /. Suppose our interest is to test Ho : M =...

Q:

Please help me with this statistics problem. I don't know how to answer it. 1. (30 points) Let Yl, ..., Yn be i.i.d. samples from the density function kyk-1 fo(y) = Ak 10 2 is a positive integer. (a)...

Q:

Caterpillar, Inc CNH Global 2014 2013 2012 2013 Profit Margin 7.09% 7.19% 9.01% 8.22% I have performed DuPont analysis on Caterpillar Inc. and its closest competitor, CNH Global. Your analysis should...