Answer:
It is vital that every fun related environment like the one discussed in the text have an emergency team that handles such cases.
Below are a few steps that I would take to ensure the safety of my guests:
- <em>Diligently Mark out Restricted Areas:</em><em> This is the first step towards establishing a safe environment for guests.</em>
- <em>Ensure the availability of enough Key Staff Members.</em>
- Designate a staff to properly manage ticketing so as to curtail financial losses
- <em>A Lightning Alert System must be installed in the case of emergencies.
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- <em>There must be a standby emergency medical unit just in case of sudden injuries, mechanical/technical error, and other health emergencies that may be life threatening.
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- <em>There has to be a team carefully looking out for the guests.</em>
- <em>Ensure that restricted areas. signs are clearly shown and also put a staff in those sections to curtail any truant behavior by guests.</em>
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<em>No additional costs should be added. The cost of a ticket should cover for all fun and health privileges. Additional costs may lead to a drastic reduction in customer base. The ticket cost should cover for everything.</em>
Answer:
EAC of Machine A is $6,788.64
EAC of Machine B is $6,094.62
We should purchase Machine B because of its ]lower EAC
Explanation:
Equivalent Annual Cost (EAC) = (Asset price x discount rate)/(1-(1+discount rate)^(-n))), in which n is the number of year for usage of asset.
EAC of Machine A is $6,788.64 = ($15,500x15%)/(1-(1+15%)^(-3))
EAC of Machine B is $6,094.62 = ($17,400x15%)/(1-(1+15%)^(-4))
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