A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen...

 

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A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20% A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20% A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20% A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20% A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20% A Food Company producing freeze-dried vegetables needs to purchase a Spiral Freezer for its new Frozen Vegetables Production Line, anticipated to be in operation indefinitely. The Company's Purchase Department issues a Request For Proposal and three suppliers submit the following bids: ITEM Price ($) O&M ($/yr) Salvage ($) Life (yr) Supplier 1 200,000 30,000 20,000 5 Supplier 2 300,000 10,000 45,000 5 Supplier 3 400,000 6,000 55,000 8 The CEO wants to minimize the cost of operating the new Spiral Freezer, however he/she is not sure of the cost of money availability for his.her Company. Assuming that, when necessary, the selected Spiral Freezer will be replaced with an identical one, answer the following questions: 1) using generic i and n write the three equations to be used for calculating the EUAC of each option 2) 3) Assuming the cost of money availability is 7%, which bid should be selected? 4) Assuming the cost of money availability is 16%, which bid should be selected? Calculate and plot the EUAC distribution of each of the three options over a cost of money availability varying from 1% to 20%

Answer rating: 100% (QA)

1 Supplier 1 EUAC 200000 300001in1in Supplier 2 EUAC 300000 100001in1in Supplier 3 EUAC 400000 60001... View the full answer