The real costs of quality:A. are incurred in the quality control department. B. are frequently overstated in an organization. C.
1 answer:
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Answer and Explanation:
The computation of the effective annual rate in each of the following cases are
1.
Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1
= (1 +0 .09 ÷ 4)^4 - 1
= 9.31%
2.
Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1
= (1 + 0.16 ÷ 12)^12-1
= 17.23%
3.
Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1
= (1 + 0.12 ÷ 365)^365-1
= 12.75%
4 .
Effective annual rate = [(e)^Annual percentage rate]-1
e=2.71828
So,
=[(2.71828)^0.11]-1
= 11.63%
Answer:
1.
The annual net cost savings promised by the automated welding machine
Annual Costs savings in replacing 6 welders $108,000
Reduced Material costs $6,500
Total annual Costs savings = $114,500
Note there is a $3,000 annual maintenance cost that will then be taken off this savings amount to make up the Annual Net cash inflow of $111,500
2
A. The Net Present value is $72,227. Kindly refer to the attached document for the clear presentation
B. The project should be accepted because it delivers a positive NPV. Meaning the net benefit outweighs the cost of owning the new Assets.
3.
The Discounted net Cash flow for the 6 years (aside the initial outlay) is $402,227.
Annually this comes to $67,038.
The benefit the business gets in the switch to the automatic welders is approximately $67,038 annually.
