Maurice Tutor

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About Maurice Tutor

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Algebra,Applied Sciences,Biology,Calculus,Chemistry,Economics,English,Essay writing,Geography,Geology,Health & Medical,Physics,Science Hide all
Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 17 Jan 2018 My Price 9.00

Moo-Cow Dairy

5.19      The Moo-Cow Dairy may purchase new milking equipment for its milking barn. The equipment costs

$135,000. The annual savings due to increased pro- duction and decreased labor costs will be $25,000. The  equipment  requires  a  minor  overhaul  every 2 years that costs $5000. At the end of the sixth year, a major overhaul costing $15,000 will be required. The equipment is expected to last 10 years with scheduled overhauls. No salvage value is antici- pated. If money is worth 7% to the dairy, determine the equipment’s PW.    (Answer: $19.56K)

5.20      National Motors must build a bridge to access land for its manufacturing plant expansion. If made of normal steel, the bridge would initially cost $30,000, and it should last 15 years. Maintenance (cleaning and painting) will cost $1000 per year. If a more cor- rosion-resistant steel were used, the annual mainte- nance cost would be only $100 per year (with the same life). If the firm’s cost of money is 12%, what is the maximum amount that should be spent on the corrosion-resistant bridge?

 

 

Answers

Maurice Tutor
(5)
Status NEW Posted 17 Jan 2018 05:01 PM My Price 9.00

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