subject
Business, 06.10.2019 03:30 dalilaoliva12

Esquire company needs to acquire a molding machine to be used in its manufacturing process. two types of machines that would be appropriate are presently on the market. the company has determined the following: (fv of $1, pv of $1, fva of $1, pva of $1, fvad of $1 and pvad of $1) (use appropriate factor(s) from the tables provided.) machine a could be purchased for $54,000. it will last 10 years with annual maintenance costs of $1,700 per year. after 10 years the machine can be sold for $5,670. machine b could be purchased for $45,000. it also will last 10 years and will require maintenance costs of $6,800 in year three, $8,500 in year six, and $10,200 in year eight. after 10 years, the machine will have no salvage value. required: assume an interest rate of 8% properly reflects the time value of money in this situation and that maintenance costs are paid at the end of each year. ignore income tax considerations. calculate the present value of machine a & machine b. which machine esquire should purchase?

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 20:20
Xinhong company is considering replacing one of its manufacturing machines. the machine has a book value of $39,000 and a remaining useful life of 5 years, at which time its salvage value will be zero. it has a current market value of $49,000. variable manufacturing costs are $33,300 per year for this machine. information on two alternative replacement machines follows. alternative a alternative b cost $ 115,000 $ 117,000 variable manufacturing costs per year 22,900 10,100 1. calculate the total change in net income if alternative a and b is adopted. 2. should xinhong keep or replace its manufacturing machine
Answers: 1
question
Business, 22.06.2019 21:00
Sue peters is the controller at vroom, a car dealership. dale miller recently has been hired as the bookkeeper. dale wanted to attend a class in excel spreadsheets, so sue temporarily took over dale's duties, including overseeing a fund used for gas purchases before test drives. sue found a shortage in the fund and confronted dale when he returned to work. dale admitted that he occasionally uses the fund to pay for his own gas. sue estimated the shortage at $450. what should sue do?
Answers: 3
question
Business, 22.06.2019 22:00
Only the united states has embassies. true or false
Answers: 2
question
Business, 23.06.2019 01:30
Lee earns $1,482 of interest in 270 days after making a deposit of $15,200. find the interest rate.
Answers: 1
You know the right answer?
Esquire company needs to acquire a molding machine to be used in its manufacturing process. two type...
Questions
question
Mathematics, 13.11.2020 01:00
question
Mathematics, 13.11.2020 01:00
question
Geography, 13.11.2020 01:00
Questions on the website: 13722361