Question: Please Show Work and Explain Please Show Step by Step 12:15 4 Blackboard You, as a supply chain manager, are considering the purchase of 500

Please Show Work and Explain
 Please Show Work and Explain Please Show Step by Step 12:15
4 Blackboard You, as a supply chain manager, are considering the purchase
Please Show Step by Step of 500 desktop PCs for your company. The life cycle for the
PCs is four years, and your company's cost of capital is 8%.

12:15 4 Blackboard You, as a supply chain manager, are considering the purchase of 500 desktop PCs for your company. The life cycle for the PCs is four years, and your company's cost of capital is 8%. You are required to calculate the TCO for this scenario and the following cost elements are available to you. \begin{tabular}{ll} \begin{tabular}{l} Cost elements \\ measures \end{tabular} & \multicolumn{1}{c}{ Cost } \\ \begin{tabular}{l} Purchase Price \\ - Hardware Equipment \end{tabular} & Supplier \\ quote: $800 per PC & \\ - Software License & $250 per PC \\ Acquisition Cost: & \\ - Sourcing & 2 FTE @ \\ & $65,000 and $120,000 for 3 months \\ - Administration & 1 Purchase \\ & order @ $110,12 invoices @ $50 \\ each & \end{tabular} The purchase order is placed now and invoices are placed every month. Usage Costs: - Installation $500 per PC - Equipment support $100 per month per PC - Network support $120 per month per PC - Warranty $160 per PC (paid athotime of pervise) 12:14 4 Blackboard 958 - Opportunity cost - Lost Productivity Downtime 20 hours per PC@ $35 per hour End of Life: - Salvage Value $50 per PC You are required to understand this scenario, compute the above cost elements and place them in the following table: Cost Elements Present Year 1 Year 2 Year 3 Year 4 Name them here Total Present Value Total Present Value Use your classroom notes. You, as a supply chain manager, are considering the purchase of 500 desktop PCs for your company. The life cycle for the PCs is four years, and your company's cost of capital is 8%. You are required to calculate the TCO for this scenario and the following cost elements are available to you. Cost elements Cost measures Purchase Price - Hardware Equipment Supplier quote: $800 per PC - Software License $250 per PC Acquisition Cost: - Sourcing 2FTE@ $65,000 and $120,000 for 3 months - Administration 1 Purchase order@\$110, 12 invoices@\$50 each The purchase order is placed now and invoices are placed every month. Usage Costs: - Installation $500 per PC - Equipment support $100 per month per PC - Network support $120 per month per PC - Warranty $160 per PC - Opportunity cost - Lost Productivity Downtime 20 hours per PC@\$35 per hour End of Life: - Salvage Value $50 per PC You are required to understand this scenario, compute the above cost elements and place them in the following table: Cost Elements Year 2 Year 2 Name them here Present Year 1 Year 3 Year 4 Total Present Value Total Present Value

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!