Crane Manufacturing management is considering overhauling their existing line, which currently has both a book value and a salvage value of $0. It would cost $280,000 to overhaul the existing line, but this expenditure would extend its useful life to five years. The line would have a $0 salvage value at the end of five years. The overhaul outlay would be capitalized and depreciated using MACRS over three years. The tax rate is 35 percent, the opportunity cost of capital is 12 percent. The NPV of the new production line is $-360,000.

Answers

Answer 1

Since the cost of the renovation or overhauling of the existing line would be recovered in Year 4 and the NPV of the new production line is $-360,000, Crane Manufacturing should renovate.

What is the difference between renovation and replacement?

Renovation restores an old asset to a better state.  Replacement rids the old in preference for a new asset.

When the two investment options are weighed, a better choice can be arrived at.

Data and Calculations:MACRS - Three Years Depreciation:

Year 1 = $93,324 ($280,000 x 33.33%)

Year 2 = $124,460 ($280,000 x 44.45%)

Year 3 = $41,468 ($280,000 x 14.81%)

Year 4 = $20,748  ($280,000 x 7.41%)

Total cost = $280,000

NPV of new production line = $-360,000

Thus, based on the cost recovery of the old production line and the negative NPV of the new production line, Crane Manufacturing should renovate.

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Question Completion:

Should Crane replace or renovate the existing line?


Related Questions

Subtract: (c ^ 2 - 4c + 7) from (7c ^ 2 - 5c + 3)

Answers

subtracting (c ^ 2 - 4c + 7) from (7c ^ 2 - 5c + 3) would give 6c² - 9c -4

Substracting algebraic expressions

Given the expressions as

(c ^ 2 - 4c + 7)

(7c ^ 2 - 5c + 3)

We are to substract expression 2 from expression 1

In doing this, we need to know the BODMAS rule ( bracket, of, division, multiplication, addition and subtraction). This would help in finding the solution

(7c ^ 2 - 5c + 3) -  (c ^ 2 - 4c + 7)

Expand the bracket

7c² - 5c + 3 - c² - 4c + 7

collect like terms

7c²- c² - 5c - 4c + 3 - 7

Add or substract the like terms

6c² - 9c -4

Thus, subtracting (c ^ 2 - 4c + 7) from (7c ^ 2 - 5c + 3) would give 6c² - 9c -4

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Answer:6c^2-c-4

Step-by-step explanation:

(7c^2-5+3)-(c^2-4c+7)

7c^2-5c+3-c^2+4c-7

Rearrange the terms

7c^2-c^2-5c+4c+3-7

Combine like terms

6c^2-c-4

The graph below shows the value of Edna's profits f(t), in dollars, after t months: graph of quadratic function f of t having x intercepts at 6, 0 and 18, 0, vertex at 12, negative 36, and passes through point 21, 41.25 What is the closest approximate average rate of change for Edna's profits from the 18th month to the 21st month?

Answers

The closest approximate average rate of change for Edna's profits from the 18th month to the 21st month is 14

How to determine the average rate of change?

From the question, we have the following ordered pairs

x intercepts = (6,0) and (18, 0)

Vertex = (12, -36)

Points (21, 41.25)

The closest approximate average rate of change for Edna's profits from the 18th month to the 21st month is the calculated using

m = [f(21) - f(18)]/[21 - 18]

This becomes

m = [f(21) - f(18)]/3

Substitute the known values in the above equation

m = [41.25 - 0]/3

Evaluate the difference

m = 41.25/3

Evaluate the quotient

m = 13.75

Approximate

m=14

Hence, the closest approximate average rate of change for Edna's profits from the 18th month to the 21st month is 14

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Complete question

The graph below shows the value of Edna's profits f(t), in dollars, after t months:

What is the closest approximate average rate of change for Edna's profits from the 18th month to the 21st month?

See attachment for graph

What is the rise and the run please help

Answers

Answer:

-1

Step-by-step explanation:

Rise=2

Run=-2

2/-2=

-1

4) One-fourth cup of yogurt contains 27.5 calories. How many calories are there in 3 1/2 cups of yogurt?

Answers

Answer:

385

Step-by-step explanation:

Cross Multiply With Fractional Ratios.

5 (1/2)
=
8 x
cross multiply to find the awnser

Answers

Answer:

5/16

Step-by-step explanation:

assuming you mean 5(1/2) = 8x

5(1/2) is the same as 5/2

so, 5/2 = 8x

5 = 16x

x= 5/16

Consider the following descriptions of the platonic solids use them to complete the table

Answers

Answer:

4, 6, 4

6, 12, 8

8, 12, 6

Step-by-step explanation:

Tetrahedron:

4 faces, 6 edges, 4 vertices

Cube:

6 faces, 12 edges, 8 vertices

Octahedron:

8 faces, 12 edges, 6 vertices

you can also use the v - e + f = 2 to check

If the diameter of a circular pond is x meter, what is the its circumference?​

Answers

Answer:

piex

Step-by-step explanation:

the circumference of a circle is pie times the diameter of the circle.

Create a two-column proof: Given: EAB and DCB are two right triangles. The figure has BED≅ BDE. Point B is the midpoint of segment AC. Prove: EAB≅ DCB

Answers

The two-column proof that shows that ΔEAB ≅ ΔDCB by SAS congruence theorem is explained below.

What is the the SAS Congruence Theorem?

The Side-angle-side congruence theorem (SAS) that states that two triangles that are have two pairs of corresponding congruent sides and a pair of included corresponding congruent angles are congruent to each other.

What is an Isosceles Triangle?

Any triangle with two equal base angles is referred to as an isosceles triangle, The sides opposite these base angles are also congruent to each other.

Given the diagram below, the proof is expressed as follows:

Statement 1: ΔEAB and ΔDCB are two right triangles

Reason 1: Given

Statement 2: ∠EAB  ≅ DCB

Reason 2: Right angles

Statement 3: ∠BED ≅ BDE

Reason 3: Given

Statement 4: ΔBED is an isosceles triangle

Reason 4: Definition of isosceles triangle

Statement 5: BE ≅ BD

Reason 5:  Definition of isosceles triangle

Statement 6: ΔEAB ≅ ΔDCB

Reason 6: SAS

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A recipe for lemon bars called for 9" X 13" pan. How many 1" X 1" bars can be cut? How many 2" X 2" bars can be cut? How much is wasted if your serve only 2" X 2" square bars?

Answers

The number of bars which can be cut for the 1" X 1" and 2" X 2" square bars are; 117 and 29 units respectively.

How many bars can be cut from the pan in each case?

The total area of the given pan can be evaluated as follows;

Area = length × width

= 9 × 13

= 117 square units.

Hence, the number of 1" X 1" bars can be cut which can be cut from the pan;

= 117/(1×1)

= 117 1" X 1" bars.

For the 2" X 2" square bars, we have;

= 117/(2×2);

29 remainder 1 square unit.

Ultimately, one square unit of the pan is wasted for the 2" X 2" square bars.

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Evaluate each ex
1) 3(6+7)

Answers

By using the PEMDAS order of operations, we get 3(6+7) = 39.

The equation be 3(6+7) then the correct answer is 34.

What is PEMDAS order of operations?

The order of operations exists as a law that describes the proper sequence of stages for estimating a math expression. We can recognize the order utilizing PEMDAS: Parentheses, Exponents, Multiplication, Division (from left to right), Addition, and Subtraction (from left to right).

Given: 3(6+7)

By using the PEMDAS order of operations, we get

(6+7) = 13

Then we get

3(6+7) = 3 [tex]*[/tex] 13

= 39.

Therefore, the value of 3(6+7) = 39.

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BECKY KUBIAK WISHES TO PURCHASE NEW APPLICANCES FOR HER HOME. THE
TOTAL COST FOR THE APPLICANCES IS $2900. TO FINANCE THE PURCHASE, BECKY
MUST PAY 20% DOWN, WITH THE BALANCE BEING FINANCED WITH A 24-MONTH
INSTALLMENT LOAN WITH AN APR OF 8.5%. DETERMINE BECKY’S TOTAL FINANCE
CHARGE AND HER MONTHLY PAYMENT.?

Answers

Using the monthly payment formula, it is found that:

Her monthly payments are of $105.46.The total finance charge is of $3,111.04.

What is the monthly payment formula?

It is given by:

[tex]A = P\frac{\frac{r}{12}\left(1 + \frac{r}{12}\right)^n}{\left(1 + \frac{r}{12}\right)^n - 1}[/tex]

In which:

P is the initial amount.r is the interest rate.n is the number of payments.

Considering that she must pay 20% down, the parameters are given by:

P = 0.8 x 2900 = 2320, r/12 = 0.085/12 = 0.007083, n = 24.

Hence the monthly payments are found as follows:

[tex]A = P\frac{\frac{r}{12}\left(1 + \frac{r}{12}\right)^n}{\left(1 + \frac{r}{12}\right)^n - 1}[/tex]

[tex]A = 2320\frac{0.007083(1.007083)^{24}}{(1.007083)^{24} - 1}[/tex]

A = $105.46.

The total finance charge is composed by the down payment plus the 24 monthly payments, hence:

F = 0.2 x 2900 + 24 x 105.46 = $3,111.04.

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At the beach, Nardia collected triple the number of seashells that Pierre did. Together, they collected 52 seashells. Which equations represents p, the number of seashells that Pierre collected.
3 p + p = 52
3 + p = 52
52 + p = 3 p
52 + p = 3

Answers

Answer:

A

Step-by-step explanation:

p = Pierre shells

Nardia shells = 3p

3p + p = 52

Answer:

a

Step-by-step explanation:

Find the critical value Tc for the confidence level c=0.80 and sample size n=29

Answers

Using a calculator, the critical value for the t-distribution with a confidence level c=0.80 and sample size n=29 is of Tc = 1.3125.

How to find the critical value of the t-distribution?

It is found using a calculator, with two inputs, which are given by:

The confidence level.The number of degrees of freedom, which is one less than the sample size.

In this problem, the inputs are given as follows:

Confidence level of 80%.28 degrees of freedom, as there is a sample size of 29.

Hence, using a calculator, the critical value for the t-distribution with a confidence level c=0.80 and sample size n=29 is of Tc = 1.3125.

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A phone company offers two monthly plans. Plan A costs $20 plus an additional $0.08 for each minute of calls. Plan B costs $16 plus an additional $0.13 for each minute of calls. For what amount of calling do the two plans cost the same? minutes What is the cost when the two plans cost the same? ​

Answers

20 + 0.08x = 16 + 0.13x
20 - 16 = 0.13x - 0.08x
4 = 0.05x
x = 80 minutes

20 + 0.08(80) = 16 + 0.13(80)
20 + 6.4 = 16 + 10.4
$26.40

DIRE NEED OF HELP, pleaseee help
(not a lot of points sorry)

Answers

Answer:

C. Subtract 4 from both sides.

Step-by-step explanation:

You need the equation in the form x² + ax + b = 0 to then either try factoring or use the quadratic formula.

In order to achieve that, you need to first:

Subtract 4 from both sides.

PLEASE HELP ME WITH THIS QUESTION ASAPP

Answers

Answer:

Trapezoid

Step-by-step explanation:

One pair of parallel sides.

Stillwater Junior high divides students into teams taught by a group of teachers. The table shows the number of students in each team.

The principal uses a computer to randomly select the name of a student from all the students in the school. With the computer program, it is possible to draw the name of the same student twice. If the principal selects the name of a student from the Voyagers on the first try, what is the probability she will draw the name of another student from the Voyagers on the second try?

A. 81/399
B. 41/200
C. 1/82
D. 21/100

Answers

Answer:

(A)81/399

Step-by-step explanation:

The probability that the Principal selects a voyager on the first try is

82/400

Since another student is to be selected, the total population has reduced by 1 and the number of voyagers has been reduced by 1.

Probability that another voyager is selected on the second try is

81/399

The correct answer is A.

ASAP help me with this

Answers

Answer:

2160°

Step-by-step explanation:

[tex]180(14-2)=2160^{\circ}[/tex]

Solve the equation

7/4x-2=-5x+1

Answers

[tex]\large{\mathcal{ANSWER}}[/tex]Problem:

[tex]\frac{7}{4}[/tex] [tex]x\:-\:2\:=\:-5x\:+\:1[/tex]

Solution:

[tex]\frac{7}{4}[/tex] [tex]x\:-\:2\:=\:-5x\:+\:1[/tex]

[tex]7x\: - \:8 \:=\: -20x\: + \:4 [/tex]

[tex]7x \:- \:8 \:+ \:20x \:= \:4[/tex]

[tex]7x\: + \:20x \:= \:4 \:+ \:8 [/tex]

[tex]27x\: = \:4\: + \:8[/tex]

Answer:

[tex]x\:= [/tex] [tex]\frac{4}{9}[/tex]

#CarryOnLearning

Answer:

x = 4/9

Step-by-step explanation:

Solve for x

7/4 x -2  = -5x +1

Add 5x to each side

7/4 x -2+5x  = -5x +1+5x

7/4 x  + 5x -2  = 1

Get a common denominator for the x terms

7/4x  +20/4x -2 = 1

Add 2 to each side

27/4 x -2+2 = 1+2

27/4 x = 3

Multiply each side by 4

27/4 x *4 = 3*4

27x = 12

Divide each side by 27

27x/27 = 12/27

x = 12/27

Simplify

x = 4/9

what is (x+6) (x+6) expanded

Answers

Hello and Good Morning/Afternoon:

Let's take this problem step-by-step:

When we expand a function, everything must be multiplied out evenly.

      [tex](x+6)*(x+6)\\=x*x +x*6+6*x+6*6\\=x^2 + 6x + 6x+36\\x^2 +12x+36[/tex]

Answer: x² + 12x + 36

Hope that helps!

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Polynomial Simplification

Polynomials are mathematical expressions made up of many terms.

To simplify the polynomial to the maximum, all like terms must be grouped together and rearranged from highest to lowest power.

(x + 6)(x + 6)

Distribute

x(x + 6) + 6(x + 6)x² + 6x + 6(x + 6)x² + 6x + 6x + 36

Combining like terms.

x² + 12x + 36

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urgent need of assistance ​

Answers

Answer:i got 329

Step-by-step explanation:

PLEASE HELP ASAP WITH EXPLANATION: If f(x) = 2f(x − 1) for all integers x, and f(n) = 3 for some integer n, find the value of
[f(n − 5)][f(n + 5)].

Answers

Answer:F to the power of 2,N to the power of 2,—25,f to the power of 2

Step-by-step explanation: i really hope under stand

A two digit number has 6 more ones than tens. Twice the sum of the number and its reverse is 6 more than ten times the number. Find the number.

Answers

The number with the given characteristics is 17

How to determine the numbers?

Let the tens be x and the units be y.

So, the number is 10x + y

The relationship between the digits is

y = x + 6

The relationship between the number and the reverse is

2(10x + y + 10y + x) = 6 + 10 * (10x + y)

Simplify the second equation

2(11x + 11y) = 6 + 100x + 10y

Open the brackets

22x + 22y = 6 + 100x + 10y

Substitute y = x + 6

22x + 22(x + 6) = 6 + 100x + 10(x + 6)

Expand

22x + 22x + 132 = 6 + 100x + 10x + 60

Collect like terms

22x + 22x - 100x - 10x = 6 + 60 - 132

Evaluate the like terms

-66x = -66

Divide by -66

x = 1

Substitute x = 1 in y = x + 6

y = 1 + 6

y = 7

Recall that the number is 10x + y

So, we have

Number = 10 * 1 + 7

Evaluate

Number = 17

Hence, the number is 17

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1. In a class of 60 students, a survey was conducted, 30 students had applied for Addis Ababa University, 25 students applied for Bahir Dar University and 24 students applied for Wachemo University. 11 students applied for both Addis Ababa and Bahir Dar Universities, 6 applied for both Addis Ababa and Wachemo Universities, 9 applied for both Wachemo and Bahir Dar Universities while 4 applied neither of the aforementioned universities. Find number of students that applied at most two universities.​

Answers

The number of students who applied at most two universities is 26 students.

How is the calculation for the number done?

The population of students in a class = 60 students

Number of students who applied for Addis Ababa University = 30 students

Number of students who applied for Bahir Dar University = 25 students

Number of students who applied for Wachemo University = 24 students

Number of students who applied for Addis and Bahir = 11 students

Number of students who applied for Addis and Wachemo = 6 students

Number of students who applied for Wachemo and Bahir = 9 students

The number of students who applied at most two universities is 26 (11+ 6 + 9).

Thus, the number of students who applied at most two universities is 26.

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Find the value of z such that 0.8664 of the area lies between −z and z. Round your answer to two decimal places.

Answers

Using the normal distribution, the value of z is of z = 1.5.

Normal Probability Distribution

The z-score of a measure X of a normally distributed variable with mean [tex]\mu[/tex] and standard deviation [tex]\sigma[/tex] is given by:

[tex]Z = \frac{X - \mu}{\sigma}[/tex]

The z-score measures how many standard deviations the measure is above or below the mean. Looking at the z-score table, the p-value associated with this z-score is found, which is the percentile of X.

For this problem, considering the symmetry of the normal distribution, the area above the mean is given by:

0.8664/2 = 0.4332.

Hence z has a p-value of 0.5  + 0.4332 = 0.9332, hence the value of z is z = 1.5.

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3x + 3 = 6 + 6. solve for x

Answers

Answer:

x = 3

Step-by-step explanation:

3x + 3   =  6 + 6

3x + 3   =  12

3x         =  12 - 3

3x         =  9

   x        =  3

3 (3) + 3   =  6 + 6

   9  + 3   =  12

       12     =  12

A newsletter publisher believes that over 30% of their readers own a Rolls Royce. For marketing purposes, a potential advertiser wants to confirm this claim. After performing a test at the 0.05 level of significance, the advertiser failed to reject the null hypothesis.

Answers

The conclusion regarding the publisher's claim regarding the hypothesis is that have sufficient evidence to support the claim that the proportion is less than 30% of their readers own a Rolls Royce.

What is a null hypothesis?

The null hypothesis is a statistical theory that suggests that no statistical relationship and significance exists in a set of given single observed variable, between two sets of observed data and measured phenomena.

Since we reject the null hypothesis , we have sufficient evidence to support the claim. In this case, we have sufficient evidence to support the claim that the proportion is less than 30% of their readers own a Rolls Royce.

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Complete question:

A newsletter publisher believes that less than 30% of their readers own a Rolls Royce. For marketing purposes, a potential advertiser wants to confirm this claim. After performing a test at the 0.02 level of significance, the advertiser decides to reject the null hypothesis. What is the conclusion regarding the publisher's claim?

Can you tell which 3-D shape this would make?

Answers

The three dimensional shape formed by the net shown below is a cube.

What is a three dimensional shape?

A three dimensional shape is a shape that has length, width and height. Examples of three dimensional shapes are cone, cylinder, prism and pyramid.

A two dimensional shape is a shape that have both length and width. Examples of two dimensional shape are circle, rectangle, square.

The cube is a a three-dimensional solid object bounded by six square faces.

The three dimensional shape formed by the net shown below is a cube.

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What is the area of the actual square window
shown in the scale drawing?
0.75 in.
Scale
1 in. = 2 m

Answers

Answer: 2.25 meters

Step-by-step explanation: 1 in = 2 meters. 0.75 is 75 percent of 1 so the length of the window is 75 percent of 2 which is 1.5. 1.5 squared is 2.25 so the length of the window is 2.25 meters

ASAP help me with this question PLEAZE

Answers

Answer:

38°

Step-by-step explanation:

EFGH is an isosceles trapezoid (a trapezoid with two congruent legs is isosceles)

∠HGF=70° (base angles of an isosceles trapezoid are congruent)

∠EGH=32° (angles in a triangle add to 180°)

∠FGE=38° (angle subtraction postulate)

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how did the boiling point of plain water compare to that of water with salt? Compared to water with sugar? If the temperature of a gas is increased from 20C to 35C, what is the new pressure if the original pressure was 1.2 atm? Assume that volume is constant.A. 0.6 atmB. 1.3 atmC. 1.0 atmD. 2.6 atm When a melody is stated in one voice, then similarly in another, this is called ______. Many bacteria facilitate the uptake of iron by secreting low molecular weight molecules, called ___________, to form complexes with the iron that can then be readily transported into the cell. The ____ method of the linkedcollection class places the new element at the beginning (head position) of the underlying linked list. Discuss how principles of a christian worldview lend support to legislative advocacy in health care without bias? Which of the following is a property of bases?A. They are found in fruit.B. They pollute the air.C. They taste sour.D. They are slippery.A p e x What is it about a person that could cause ordinarily beneficial traits to become so self-defeating ?. Why would a companys manager be concerned about the quantity of its purchases returns if its suppliers allow unlimited returns? I need help with the question Useing graph paper draw a array for 23743 A ________ rate means the value of the currency is fixed relative to a reference currency and then the exchange rate between that currency and other currencies is determined by the reference currency exchange rate. Peter have twice as many stickers as Joe. Joe has 40 more stickers than Emily. They have 300 stickers together. How many stickers does Peter have? Please need help fastInstructions: Match the following data with the correct histogram. Find the width and heigth of a newer 47-inch television whose screen has an aspect ratio of 4:3 Find the rea of the screen John just came back from a camping trip and noticed a bull's-eye-shaped skin rash on his arm. Which disease does john probably have? Which of these news organizations was formed in 1848 to quickly spread news throughout the United States Consider the complex number z = 27i. what are the characteristics of the cube roots of z? use the drop-down menus to complete each sentence. the cube roots are located on a circle with center at the pole and radius of . the cube roots have arguments which differ by over 3. QUESTION IS DOW BELOW 5 POINTS EACH PLEASE HELP PLEASE HELP PLEASE HELP The _____ was called ""a sweeping overhaul of the financial regulatory systemon a scale not seen since the reforms that followed the great depression.""