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Dovator [93]
3 years ago
11

Rubbermaid Plastics plans to purchase a rectilinear robot for pulling parts from an injection molding machine. Because of the ro

bot’s speed, the company expects production costs to decrease by $100,000 per year in each of the first 3 years and by $200,000 per year in the next 2 years. What is the present worth of the cost savings if the company uses an interest rate of 15% per year on such investments?
Business
1 answer:
liubo4ka [24]3 years ago
3 0

Answer:

The present worth of the cost savings if the company uses an interest rate of 15% per year on such investments is $442108.5079.

Explanation:

Present Worth = $100,000/(1 + 15%) + $100,000/(1 + 15%)^2 + $100,000/(1 + 15%)^3 + $200,000/(1 + 15%)^4 + $200,000/(1 + 15%)^5

                         = $442108.5079

Therefore, the present worth of the cost savings if the company uses an interest rate of 15% per year on such investments is $442108.5079.

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The degree of operating leverage can be measured by​ ________. A. multiplying the contribution margin by sales revenue B. dividi
Varvara68 [4.7K]

Answer:

Option C is the answer

Explanation:

The degree of operating leverage is measured by dividing the contribution margin by operating income.

The degree of operating leverage (DOL) is the ratio of contribution margin to operating income. It measures how much the operating income of a company will change in response to a change in sales. A Companies that have higher proportion of fixed costs to variable cost will have greater levels of operating leverage.

4 0
3 years ago
Who determines the price in perfect markets?
Trava [24]

Answer:

<h2>Price is determined by the</h2><h2> intersection of market demand and market supply; individual firms do not have any influence on the market price in perfect competition. Once the market price has been determined by market supply and demand forces, individual firms become price takers.</h2>

Explanation:

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5 0
3 years ago
Swifty's Market used the perpetual method to record the following events involving a recent purchase of inventory:
butalik [34]

Answer:

Inventory balance will be of 73,318

Explanation:

Inventory                     75,400

     Account payable                75,400

to record goods received

Account payable           1,300

           Inventory                          1,300

to record return of goods

Inventory                          700

            Cash                                  700

to record payment of freight

Account Payable        74,100

            Inventory                         1,482

            Cash                              72,618

to record payment of invoice within discount period

75,400 - 1,300 = 74,100

74,100 x 2% = 1,482

Inventory balance:

<em>   DEBIT         CREDIT</em>

 75,400

                       1,300

      700

                       1,482

<u><em>balance: </em></u>

  73,318

8 0
3 years ago
The company can choose to buy a back-up machine for Step C for an additional $20,000. The back up would also have a reliability
Goshia [24]

The complete question is:

A certain company produces 10,000 tables per year in a three-step process. The three steps in the process employ machines with the reliabilities listed here:

Step A - 0.987 Step B – 0.979 Step C – 0.915

Answer:

New reliability= 0.9593 ~ 0.959

Explanation:

Reliability is used in manufacturing process to ensure that a process produces the same level of output consistently. A process is reliable if it achieves the same results everytime.

Reliability can be applied to individuals, data, processes, and products.

In this instance we are to calculate the new reliability of the backup system.

Reliability of step C is 0.915

New reliability= 1 - (1- 0.915)^2

New reliability= 0.992775

Multiply this value by the reliability in step A and B to get system reliability

System reliability= 0.992775 * 0.987 * 0.979

System reliability= 0.9593

7 0
2 years ago
If it 10am eastern standard time in new York city
RoseWind [281]
What time zone would you like convert to?
7 0
3 years ago
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