Question: A certain Batch manufacturing plant requires one operator to tend to 2 semiautomatic machines used in production. The plant operates one 10-hour shift per

A certain Batch manufacturing plant requires one operator to tend to 2 semiautomatic machines used in production. The plant operates one 10-hour shift per day for 250 days in a year. The operator is paid $30 per hour with applicable factory labor overhead rate of 50%. Other pertinent information about the system in include the information provided below. Determine the hourly cost of the system. (30 points) Machine 1 Initial cost Installation Yearly maintenance cost SL SV ROR Applicable MOHR $125,000 $10,000 $5000 10 years $5000 20% 30% Machine 2 $150,000 $5000 $3000 8 years $10,000 20% 50%
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MACHINE 1 Total cost of machine 1 Initial cost 125000 Installation cost 10000 Tota... View full answer
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