Alex considers using two robots instead of one worker per shift on an assembly line. The...

 

  

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Alex considers using two robots instead of one worker per shift on an assembly line. The robots together cost $271232. They have an expected life of 11 years, although their expected scrap value is zero. This life depends on economic loss and does not depend on wear. The maintenance and operating costs of the robots are expected to be $2774 per year per shift worked. Each person in Alex's company costs $59347 per shift per year. If the firm's interest rate is 13%: (It is considered that 2 shifts are worked for a 10-year period.) What is the equivalent annual value for the robots? Calculate separately for one shift and three shifts. Alex considers using two robots instead of one worker per shift on an assembly line. The robots together cost $271232. They have an expected life of 11 years, although their expected scrap value is zero. This life depends on economic loss and does not depend on wear. The maintenance and operating costs of the robots are expected to be $2774 per year per shift worked. Each person in Alex's company costs $59347 per shift per year. If the firm's interest rate is 13%: (It is considered that 2 shifts are worked for a 10-year period.) What is the equivalent annual value for the robots? Calculate separately for one shift and three shifts. Alex considers using two robots instead of one worker per shift on an assembly line. The robots together cost $271232. They have an expected life of 11 years, although their expected scrap value is zero. This life depends on economic loss and does not depend on wear. The maintenance and operating costs of the robots are expected to be $2774 per year per shift worked. Each person in Alex's company costs $59347 per shift per year. If the firm's interest rate is 13%: (It is considered that 2 shifts are worked for a 10-year period.) What is the equivalent annual value for the robots? Calculate separately for one shift and three shifts. Alex considers using two robots instead of one worker per shift on an assembly line. The robots together cost $271232. They have an expected life of 11 years, although their expected scrap value is zero. This life depends on economic loss and does not depend on wear. The maintenance and operating costs of the robots are expected to be $2774 per year per shift worked. Each person in Alex's company costs $59347 per shift per year. If the firm's interest rate is 13%: (It is considered that 2 shifts are worked for a 10-year period.) What is the equivalent annual value for the robots? Calculate separately for one shift and three shifts.

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To calculate the equivalent annual value EAV for the robots we can use the formula for the equivalen... View the full answer