Question: or Bally Gears, Inc., has been asked to evaluate a proposal. The manager of the automotive ivision believes that replacing the robotics used on the

or Bally Gears, Inc., has been asked to evaluate a proposal. The manager of the automotive ivision believes that replacing the robotics used on the heavy truck gear line will produce total enefits of $560,000 (in today's dollars) over the next 5 years. The existing robotics would roduce benefits of $400,000 (also in today's dollars) over that same time period. An initial cash ivestment of $220,000 would be required to install the new equipment. The manager estimates at the existing robotics can be sold for $70,000. how how Ken will apply marginal cost-benefit analysis techniques to determine the following
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