The expected salvage value of the machine

Assignment Help Business Economics
Reference no: EM131392363

You purchase a stamping machine at $100,000 to produce a new line of products. The stamping machine will be used for 5 years and the expected salvage value of the machine is 20% of the initial cost. The annual operating and maintenance costs amount to $30,000. If each part stamped generates $12 revenue, how many parts should be stamped each year just to break even? Assume that you require a 15% return on your investment.

Reference no: EM131392363

Questions Cloud

Did this group operate in an ethical manner : Using the code of ethics of one of the engineering professional societies, analyze the behavior of Bockris's research group. According to the code, did this group operate in an ethical manner?
Discuss about the pathophysiology and epidemiology : Discuss Pathophysiology,Epidemiology,Physical exam findings,Differential diagnoses and rationale.
Which contingency leadership theory do you think is best : 1. Which contingency leadership theory do you think is the best? Explain! 2. Which contingency leadership theory do you actually plan to use, and how? If you do not plan to use any, give a detailed reason for not wanting to use any of the models..
Develop a customer service plan for the fictitious company : BSBCUS501: Manage Quality Customer Service Assignment. BSBMGT502: Manage people performance Assignment. You will develop a Customer Service Plan for the fictitious company "Innovative Widgets". The information needed to produce the plan is to be ta..
The expected salvage value of the machine : You purchase a stamping machine at $100,000 to produce a new line of products. The stamping machine will be used for 5 years and the expected salvage value of the machine is 20% of the initial cost. The annual operating and maintenance costs amount t..
Which contingency leadership theory do you actually plan : Which contingency leadership theory do you actually plan to use, and how? If you do not plan to use any, give a detailed reason for not wanting to use any of the models.
Brief discussion about diseases precocious puberty : Brief discussion about diseases Precocious puberty:Pediatric obesity.Hypothyroidism,Can includePathophysiology,Epidemiology,Physical exam findings.
Which of these are goals sometimes pursued by central banks : Which of these are goals sometimes pursued by Central Banks? Which of these is not an advantage of open-market operations compared to other tools the Fed could use?
How training contributes to the success of the organization : Training and development, Project Scope & Focus, The importance of training and development in the organization, Describe how training contributes to the success of the organization.

Reviews

Write a Review

Business Economics Questions & Answers

  Should wages and salaries be indexed to economic performance

In this discussion, you will explain the role of the business cycle in government and private sector decisions. Data on GDP and economic growth are considered lagging indicators because they report information on what is already known. How reliable a..

  Addition to the proceeds from the home sale

If homeowners purchased a $250,000 home with a zero-down, interest-only mortgage, and the value of the home subsequently fell to $200,000, in order to sell the house and move to another city, the homeowners would be required at closing to pay

  Calculate accounting profit and economic profit

Suppose Ernie gives up his job as financial advisor for P.E.T.S., at which he earned $30,000 per year, to open up a store selling spot remover to Dalmatians. He invested $10,000 in the store, which had been in savings earning 5 percent interest. This..

  Complete her income-tax return

Allison is trying to complete her income-tax return. A number of questions have come up about life insurance. Explain the tax treatment of each of the following. Allison is the beneficiary named in her grandfather’s life insurance policy. Allison’s o..

  Reflect substitution to lower priced goods by consumers

If the basket of goods used to calculate the CPI is changed to reflect substitution to lower priced goods by consumers, it would result in:

  Include every variable in the regression equation

Since increasing the number of variables increases R2 why not include every variable in the regression equation?

  Based on the best available econometric estimates

Based on the best available econometric estimates, the market elasticity of demand for your firm’s product is -1.5. The marginal cost of producing the product is constant at $75, while average total cost at current production levels is $200.

  Small-town ready-mix concrete duopolists

Joe and Rebecca are small-town ready-mix concrete duopolists. The market demand function is Qd = 10,000 – 100P, where P is the price of a cubic yard of concrete and Qd is the number of cubic yards demanded per year. Marginal cost is $25 per cubic yar..

  Marketing for different age groups

Studies have hit on a few products like Coca-cola and how they segment the market, focusing on Coke for youth and Diet Coke for older adults. Pick one other company that markets similar yet different products to various market segments.

  Discuss the unemployment rate - types and issues

HI5003 - Economics for Business - Discuss the unemployment rate, types, issues, and government policy of Australia and comment unemployment in various states of Australia.

  Manufacturing industry are playing tit-for-tat pricing game

Suppose that you were an industry analyst trying to determine if the leading firms in the automobile manufacturing industry are playing a tit-for-tat pricing game. What real world data would you want to examine? What would you consider to be evidence..

  Considering using some debt-capital structure

Gator Fabrics Inc. currently has zero debt (i.e., wd = 0). It is a zero growth company, and additional firm data are shown below. Now the company is considering using some debt, moving to the new capital structure indicated below. If this plan were c..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd