Would the machine need to generate to break even

Assignment Help Microeconomics

Reference no: EM131506727

Question: The capital investment for a new highway paving machine is $950,000. The estimated annual expense, in year zero dollars, is $92,600. This expense is estimated to increase at the rate of 5.7% per year. Assume that f = 4.5%, N = 7 years, MV at the end of year 7 is 10% of the capital investment, and the MARR (in real terms) is 10.05% per year. What uniform annual revenue (before taxes), in actual dollars, would the machine need to generate to break even?

Reference no: EM131506727

Questions Cloud

Determine the volume of air that must be circulated : ENMIN 7020 Advanced Mine Ventilation-Determine the volume of air that must be circulated through the pump chamber if the intake temperature and pressure

Define colonization and what was the motivation for it : Define colonization. What was the motivation for it?Select 2 examples of colonization in the modern period.

Monitoring and controlling project procurement : In your organization, which position is usually responsible for monitoring and controlling project procurement?

Charge of putting my next biggest training together : So you are in charge of putting my next biggest training together. There is a large budget and it is important to our organization and its goals.

Would the machine need to generate to break even : The capital investment for a new highway paving machine is $950,000. The estimated annual expense, in year zero dollars, is $92,600.

Calculate your taxes : You have purchased equipment costing $100,000 and will depreciate it according to the schedule for a MACRS five-year asset. Calculate your taxes.

Organization performance in area impact : Discuss the "war for talent" within a particular industry or organization based on your experience, observation, or research.

What resources are available in the school setting : What are the steps needed to identify a child who needs support and the area that the child needs support

Which device should the hospital choose : A hospital has two different medical devices it can purchase to perform a specific task. Both devices will perform an accurate analysis.

User Account

All Pages