Question: solve clear and neat with complete explanation steps . dont copy from anywhere 1. Foxson Company has a business unit in the field of environmental

 solve clear and neat with complete explanation steps . dont copy

solve clear and neat with complete explanation steps . dont copy from anywhere

from anywhere 1. Foxson Company has a business unit in the field

1. Foxson Company has a business unit in the field of environmental quality monitoring. This year this business unit won a sponsored project to provide water quality sampling services for all companies in industrial estates. The MARR for this project is 10% per annum with a study period of 8 years. Last month, the service purchased all the necessary lab equipment for full internal testing and analysis. There are two options for running this project: - First option: The project is run by the business unit itself. The business unit has assets in the form of initial equipment and supplies costing $275,000 (considering 8 years of age), annual employee salaries of $345,000 annual operating costs of $30,000, and an average sample cost of $35. At the end of the project there is no significant salvage value for equipment and supplies. current equipment. - Second option: Considering a subcontractor company offering to take over this function on a per-sample basis. If this work is outsourced to this subcontractor, then the company should consider: Average cost $100 per sample for the first 5 years, increasing to $115 per sample for the 6th, 7th, and 8th years. Based on the data above: a) Determine the break event analysis between the two options. b) Use a spreadsheet to graph the AW curves for both test load options between 0 and 6000 per year in 1000 test increments. What is the estimated BEP? Draw the graph. c) If the cost per sample offered by the subcontractor is reduced by 25%, is this option much better than the first option? Draw the graph

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