subject
Business, 12.02.2021 14:00 shaylawymannnnn

The system costs $50,000. It has an expected life of 7 years at which time its salvage value will be $7,500. Operating and maintenance expenses are estimated to be $2,000 per year. If the filtration system is not purchased, you will have to pay the city $12,000 per year for water purification. If the system is purchased, no water purification will be needed. You must borrow half of the purchase price, but cannot start repaying the loan for 2 years. The bank has agreed to three equal annual payments, with the first payment due at the end of year 2. The loan interest rate is 8% compounded annually. The internal interest rate is 10% compounded annually. Should the filtration system be purchased

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 08:30
Match each item to check for while reconciling a bank account with the document to which it relates.(there's not just one answer)1. balancing account statement2. balancing check registera. nsf feesb. deposits in transitc. interest earnedd. bank errors
Answers: 2
question
Business, 22.06.2019 14:10
Carey company is borrowing $225,000 for one year at 9.5 percent from second intrastate bank. the bank requires a 15 percent compensating balance. the principal refers to funds the firm can effectively utilize (amount borrowed โˆ’ compensating balance). a. what is the effective rate of interest? (use a 360-day year. input your answer as a percent rounded to 2 decimal places.) b. what would the effective rate be if carey were required to make 12 equal monthly payments to retire the loan?
Answers: 1
question
Business, 22.06.2019 21:50
Varto company has 9,400 units of its sole product in inventory that it produced last year at a cost of $23 each. this yearโ€™s model is superior to last yearโ€™s, and the 9,400 units cannot be sold at last yearโ€™s regular selling price of $42 each. varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each, or (2) they can be reworked at a cost of $251,100 and then sold for $34 each. prepare an analysis to determine whether varto should sell the products as is or rework them and then sell them.
Answers: 2
question
Business, 23.06.2019 20:00
What you perceive tends to align quite well with
Answers: 1
You know the right answer?
The system costs $50,000. It has an expected life of 7 years at which time its salvage value will be...
Questions
question
Mathematics, 02.07.2019 04:30
question
Mathematics, 02.07.2019 04:30
Questions on the website: 13722363