Question: 4) Viking Strong Engineering Systems is considering buying a machine for its operation in Oregon. It is estimated that the net benefits in year 1

 4) Viking Strong Engineering Systems is considering buying a machine for

4) Viking Strong Engineering Systems is considering buying a machine for its operation in Oregon. It is estimated that the net benefits in year 1 will be $50,000 and increase at the rate $5,000 for the next four years and will then stay at the sam level as that ofyear S for the next 5 years. If MARR is 8%, determine the maximum amount of money that the company can invest on this machine. Assume the salvag at the end of year 10 will be 30% of initial cost. a. $495,615 b. $516,500 c. $411,200 d. $399,500 5) Arbitrage Global Technologies is exploring investment opportunities for million. The company would like to maximize the return on this investment investment opportunities are being explored for a period of 10 years. Hel company choose the best investment opportunity. 10% compounded quarterly. a, b, 9.85% compounded daily. 9.95% compounded monthly. 15% simple interest. d, 6) A trade magazine publishes lists of power-sizing exponents that economies of scale for developing engineering estimates of various t equipment. There are two pieces of similar machinery, the StottViking 100 StottViking 50. The 100 model produces twice the ouput (volume) as the 50 model. model is $250,000 today. time-the index is 350 today and was 235 five years ago. - The cost of the 50 model was $95,000 five years ago, and the cost - There is a cost index documenting price changes of the StottVi What is the power sizing exponent for the StottViking machine the publis print in their trade magazine? a. 0.3 b. 0.5 c. 0.57 d. 0.82 7) Fast Homebuilders Inc. wants to build 3 new houses. Historically the 92% learning curve on home construction. If the first home takes 3 build, what is the cumulative time it will take to build the first 3 house

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