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pishuonlain [190]
3 years ago
4

Two methods are under consideration for producing the case for a portable hazardous material photoionization monitor. A plastic

case will require an initial investment of $75,000 and will have an annual operating cost of $27,000 with no salvage after 2 years. An aluminum case will require an investment of $125,000 and will have annual costs of $12,000. Some of the equipment can be sold for $30,000 after its 3-year life. At an interest rate of 10% per year, which case should be used on the basis of a present worth analysis?
Business
1 answer:
zhuklara [117]3 years ago
5 0

Answer:

It should chose the first option of a plastic case.

Explanation:

The present value the plastic option is

-75000 year 0

-27000 year 1

-27000 year 2

Present Value of -121,859.50

While the present value of the aluminum case is

-125000 year 0

-12000 year 1

-12000 year 2

-12000 year 3 + 30,000 salvage value = 18,000

Present value of -132,302.78

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The marginal benefit of a taco is measured by:
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Answer:

the price of the.

Explanation:

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Answer:

(B) a cash cow

Explanation:

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The net present value (NPV) method estimates how much a potential project will contribute to
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This answer requires that we fill in the blanks

  • The net present value (NPV) method estimates how much a potential project will contribute to shareholder wealth
  • The larger the NPV,  the more value the project adds; and added value means a higher stock price.
  • The NPV calculation assumes that cash inflows can be reinvested at the project's risk-adjusted WACC
  • When the firm is considering independent projects, if the project's NPV exceeds zero the firm should accept the project.
  • When the firm is considering mutually exclusive projects, the firm should accept the project with the higher positive NPV.

What is the NPV?

In order to get the NPV we have to make the following calculations for the projects A and B.

This is calculated as

Project A

-900 + 620/1.08 + 395/1.08² + 200/1.08³ + 250/1.08⁴

= $355. 237

For the project B

We would have to perform similar calculation

Hence we would have

-900 + 620/1.08 + 395/1.08² + 200/1.08³ + 250/1.08⁴

= 378.98

From the calculations that we have done above, we can see that the value for project B is greater hence we have to choose project B.

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2. A. Feasibility report

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<h3>How to compare the difference?</h3>

The chief digital officer is the leading digital business from the front in a way that most CIOs aren’t. It should be that most CIOs are not trying to think of new markets, new channels, or new business models that the organization should be getting and making that a top priority. .

The CIO is used to operate much larger operations. The Chief Digital Officers are very multidisciplinary, so they have a lot of different experiences, and they're very comfortable talking with marketing and sales in their language.

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