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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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3 0
3 years ago
S= (1+r)c. find c if s=174 and R<br> =455
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3 0
3 years ago
Consider the market for meekers in the imaginary economy of Meekertown. In the absence of international trade, the domestic pric
kotykmax [81]

Answer:

Export

true

Explanation:

Because the price of meekers in meekertown is lower than the world price for meekers, meekers from meekertown are cheaper. so if free trade is allowed, other countries would want to purchase meekers from meekertown because it is cheaper.

So, meekertown would export meekers if free trade is allowed.

When a country is too small affect the world price, allowing for free trade will always increase total surplus in that country, regardless of whether it imports or exports as a result of international trade.

this is so because if the country is efficient in production of a good (producing at a lower price when compared to the world price), export of the good would increase thus increasing producer surplus. if on the other hand, the country is inefficient in producing a good and the country allows for free trade, the country can import the good. this would increase consumer surplus.

4 0
3 years ago
A car dealership union negotiates a contract that dramatically increases the salaries of all salesmen. If one of the salesmen is
Misha Larkins [42]

I think the most appropriate answer would be "a car dealership salesman" would be the opportunity cost.

I hope it helped you!

8 0
3 years ago
which of the following items is qualitative?-cost of a new machine-depreciation of existing machine-book value of the existing m
trapecia [35]

Answer: Statement D

Explanation: Qualitative characteristics are those characteristics the values of which cannot be calculated appropriately and the one that cannot be recorded in the books as they do not have any quantitative value.

In the given problem cost of machine at which it is purchased is its value, Depreciation is the value of original cost which has been used and amount at which the machine used can be sold is its value.

Hence among all the options Option D shows qualitative characteristics.

6 0
3 years ago
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