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sergeinik [125]
2 years ago
13

A firm is choosing between two machines. Machine X has a first cost of $5,000 and a useful life of 5 years. Machine Y has a firs

t cost of $8,000; useful life of 12 years; salvage value of $2,000; maintenance cost of $150. Assume the minimum attractive return is 8%, which machine would you choose
Business
1 answer:
koban [17]2 years ago
7 0

Answer:

Machine Y

Explanation:

Machine X

EUAC = 5,000(A/P, 8%, 5)

EUAC = 5,000 (0.2505)

EUAC = $1252.50

Machine Y

EUAC = 8,000(A/P, 8%, 12) - 2,000(A/F, 8%, 12) + Maintenance cost

EUAC = 8,000(0.13269) - 2,000(0.0526) + 150

EUAC = $1061.52 - $105.20 + $150

EUAC = $1106.32

Conclusion: Machine Y will be chosen because it has the lesser Equivalent Uniform Annual Cost than Machine X

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cupoosta [38]

Answer:

B. The khaki pants

Explanation:

Opportunity cost is the benefits forfeited as a result of choosing one item or activity over the other.  It the value of the next best alternative of choice made.

Opportunity costs arise because people have to make choices every day. Choosing an item over others implies sacrificing the benefits of the others. The value or cost of the sacrificed item represents the opportunity cost.

Khaki pants are the opportunity cost. Kyla is comfortable with either blue jeans or khaki pants. He does not like black jeans. His alternatives are khaki pants or Blue jeans. Choosing blue jeans implies forfeiting khaki pants. The khaki pants are the best alternative that was missed.

7 0
3 years ago
Compared to a country with an MPS of 0.05, a country with an MPS of 0.2 would have to change government expenditures by ________
const2013 [10]

Answer: Four times.

Explanation:

Based on the information given, the government expenditure multiplier in this case goes thus:

K = ∆Y/∆G = 1/1-MPC = 1/MPS

For the first country with a MPS of 0.05, K = 1/MPS = 1/0.05 = 20

For the first country with a MPS of 0.2, K = 1/MPS = 1/0.2 = 5

Therefore, 20/5 = 4.

Therefore, the answer is four times.

8 0
3 years ago
Choose the correct statement regarding the structure of the plasma membrane. Multiple Choice
Nuetrik [128]

Answer:D

Explanation:

The movement of protein in the plasma membrane allows for cellular adaptation to the extracellular environment

7 0
2 years ago
The Work in Process Inventory account of a manufacturing company has a $3,550 debit balance. The company applies overhead using
DanielleElmas [232]

Answer:

$1,070

Explanation:

Calculation to determine the amount of applied overhead is:

Using this formula

Applied overhead = Total cost of WIP - Direct materials - Direct labor

Let plug in the formula

Applied overhead= $3,550 - $1,610 - $870

Applied overhead=$1,070

Therefore the amount of applied overhead is:$1,070

5 0
2 years ago
A user video is claimed by one asset with a policy of Monetize worldwide and claimed separately by another asset with a policy o
drek231 [11]

Answer: Block worldwide

Explanation:

8 0
3 years ago
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