Question: 2. Suppose there are 2 alternatives that are mutually exclusive. Both alternatives require an investment cost of Rp. 25 million. The first alternative is estimated

 2. Suppose there are 2 alternatives that are mutually exclusive. Both

2. Suppose there are 2 alternatives that are mutually exclusive. Both alternatives require an investment cost of Rp. 25 million. The first alternative is estimated to generate IDR 8 million per year and the second alternative has no residual value. By using 15% MARR, determine how many years old are the two alternatives so that both are in a 'break even' condition? 3. To create a newly designed product, PT. ABC considers 3 ways or production methods. The first method requires a machine that costs Rp. 25 million who have 7 years of age and no residual value. With this first method the company is burdened with an additional cost per unit of product made of Rp. 200. The second method requires a machine worth IDR 35 million. This machine is 7 years old with a residual value of Rp. 2 million. With this second method the company must bear an additional fee of Rp. 150 per unit of product it makes. The third method requires a machine that costs Rp. 30 million with an age of 7 years and a residual value of Rp. 3 million. The additional cost per unit of product made using this third method is Rp. 250. The company's MARR is 15%. At what production volume interval is each alternative better than the others? 4. An entrepreneur is considering 3 alternative projects that are mutually exclusive. The first alternative requires an investment of Rp. 60 million now, and at the end of years 1,2,3, and 4 will yield Rp. 10 million, 20 million, 30 million, and 35 million. The second alternative requires an investment of Rp. 80 million now, and promised an income of Rp. 40 million, 30 million, and 10 million at the end of year 1,2,3, and 4. While the third alternative requires an investment of Rp. 40 million and generates Rp. 12 million at the end of each year until the end of the 6th year. Use an interest rate of 12% to determine when an alternative will be chosen. 2. Suppose there are 2 alternatives that are mutually exclusive. Both alternatives require an investment cost of Rp. 25 million. The first alternative is estimated to generate IDR 8 million per year and the second alternative has no residual value. By using 15% MARR, determine how many years old are the two alternatives so that both are in a 'break even' condition? 3. To create a newly designed product, PT. ABC considers 3 ways or production methods. The first method requires a machine that costs Rp. 25 million who have 7 years of age and no residual value. With this first method the company is burdened with an additional cost per unit of product made of Rp. 200. The second method requires a machine worth IDR 35 million. This machine is 7 years old with a residual value of Rp. 2 million. With this second method the company must bear an additional fee of Rp. 150 per unit of product it makes. The third method requires a machine that costs Rp. 30 million with an age of 7 years and a residual value of Rp. 3 million. The additional cost per unit of product made using this third method is Rp. 250. The company's MARR is 15%. At what production volume interval is each alternative better than the others? 4. An entrepreneur is considering 3 alternative projects that are mutually exclusive. The first alternative requires an investment of Rp. 60 million now, and at the end of years 1,2,3, and 4 will yield Rp. 10 million, 20 million, 30 million, and 35 million. The second alternative requires an investment of Rp. 80 million now, and promised an income of Rp. 40 million, 30 million, and 10 million at the end of year 1,2,3, and 4. While the third alternative requires an investment of Rp. 40 million and generates Rp. 12 million at the end of each year until the end of the 6th year. Use an interest rate of 12% to determine when an alternative will be chosen

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