1 You own a Sweet making business and you need to buy a new mixing machine....

 

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1 You own a Sweet making business and you need to buy a new mixing machine. You have two choices, one of which is expected to last three years and the other five. They have differing costs and maintenance structures as per the table below:- Year Sugar Dream Calorie Counter 0 2,600 3,400 1 200 100 2 400 100 3 200 100 4 100 Your company can borrow at 10%. Which machine do you purchase? (10) 5 100 1 You own a Sweet making business and you need to buy a new mixing machine. You have two choices, one of which is expected to last three years and the other five. They have differing costs and maintenance structures as per the table below:- Year Sugar Dream Calorie Counter 0 2,600 3,400 1 200 100 2 400 100 3 200 100 4 100 Your company can borrow at 10%. Which machine do you purchase? (10) 5 100

Answer rating: 100% (QA)

Based on the information provided it is recommended to purchase the Sugar Dream mixing machine Heres ... View the full answer