Question: please answer quickly!! thank you!! ill give thumbs up! Darcy Roofing is faced with a decision. The company relies very heavily on the use of



Darcy Roofing is faced with a decision. The company relies very heavily on the use of its 60-foot extension lift for work on large homes and commercial properties. Last year, Darcy Roofing spent $79,800 refurbishing the lift. It has just determined that another $49,000 of repair work is required. Alternatively, it has found a newer used lift that is for sale for $207,500. The company estimates that both lifts would have useful lives of 6 years. The new lift is more efficient and thus would reduce operating expenses by about $26,600 per year. Darcy Roofing could also rent out the new lift for about $12,000 per year. The old lift is not suitable for rental. The old lift could currently be sold for $30,500 if the new lift is purchased. Prepare an incremental analysis showing whether the company should repair or replace the equipment. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses eg. (45)) Retain Equipment Replace Equipment Net Income Increase (Decrease) Operating expenses $ $ Repair costs Rental revenue New machine cost Sale of old machine Total cost $ Should company repair or replace the equipment? The equipment be replaced. Mesa Cheese Company has developed a new cheese slicer called Slim Slicer. The company plans to sell this slicer through its catalog, which it issues monthly, Given market research, Mesa believes that it can charge $30 for the Slim Slicer. Prototypes of the Slim Slicer, however, are costing $31. By using cheaper materials and gaining efficiencies in mass production, Mesa believes it can reduce Slim Slicer's cost substantially. Mesa wishes to earn a return of 10% of the selling price. (a) Compute the target cost for the Slim Slicer. Target cost $ 18
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