Question: Blackboard Close Window Moving to another question wil save this response. Question 3 of Question 3 10 points Save Answer Mansoor Home Construction is considering
Blackboard Close Window Moving to another question wil save this response. Question 3 of Question 3 10 points Save Answer Mansoor Home Construction is considering the purchase of dumpsters and trucks to store and transfer construction debris from building sites. The estimated initial cost is $125,000. The equipment has a life of 8 years, a $5000 salvage value, an operating cost of $40 per day, and an annual maintenance cost of $2,000. Alternatively, the company can obtain the same services from the city as needed for an initial delivery cost of S5625 and a daily charge of S900. The minimum attractive rate of return is 8% per year. a) How many days per year must the equipment be used for the alternatives to break even (to justify its purchase)? b) Which altemative should be selected if the company would use this equipment for at least 40 days a year? Weds:0 Path: Moving to another question wil save INs response
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