Question: Alpha Electronics can purchase a needed service for $75 per unit. The same service can be provided by equipment that costs $110,000 and that will
Alpha Electronics can purchase a needed service for $75 per unit. The same service can be provided by equipment that costs $110,000 and that will have a salvage value of zero at the end of 10 years. Annual operating costs for the equipment will be $7,000 per year plus $30 per unit produced. MARR is 14.0%/year.
What is the future worth of the equipment if the expected production is 200 units/year? Carry all interim calculations to 5 decimal places and then round your final answer to the nearest dollar. The tolerance is t50. What is the future worth of the equipment if the expected production is 500 units/year? Carry all interim calculations to 5 decimal place and then round your final answer to the nearest dollar. The tolerance is t50 Determine the breakeven value for annual production that will return MARR on the investment in the new equipment. units Carry all Interim calculations to 5 decimal places and then round your final answer to the nearest whole number. The tolerance is t50
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