subject
Business, 15.10.2019 17:30 YRNlightskin3360

Kiddy toy corporation needs to acquire the use of a machine to be used in its manufacturing process. the machine needed is manufactured by lollie corp. the machine can be used for 9 years and then sold for $13,000 at the end of its useful life. lollie has presented kiddy with the following options: (fv of $1, pv of $1, fva of $1, pva of $1, fvad of $1 and pvad of $1) (use appropriate factor(s) from the tables provided.) 1. buy machine. the machine could be purchased for $163,000 in cash. all insurance costs, which approximate $8,000 per year, would be paid by kiddy. 2. lease machine. the machine could be leased for a 9-year period for an annual lease payment of $28,000 with the first payment due immediately. all insurance costs will be paid for by the lollie corp. and the machine will revert back to lollie at the end of the 9-year period. required: assuming that a 9% interest rate properly reflects the time value of money in this situation and that all maintenance and insurance costs are paid at the end of each year, determine which option kiddy should choose. ignore income tax considerations. (negative amounts should be indicated by a minus sign. round your final answers to nearest whole dollar amount.)

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 07:30
Hours to produce one unit worker hours to produce yarn country a 8 hours country b 4 hours worker hours to produce fabric counrty a 12 hours country b 13 hours additional worker hours to produce fabric instead of yarn country a ? country b? which of the follow is true of the trade relationship between country a and country b? country a has an absolute advantage in producing yarn and fabric country b has an absolute advantage in producing yarn and fabric country b has a comparative advantage to country a in producing fabric country a has a comparative advantage to country b in producing fabric
Answers: 2
question
Business, 22.06.2019 11:50
Stocks a, b, and c are similar in some respects: each has an expected return of 10% and a standard deviation of 25%. stocks a and b have returns that are independent of one another; i.e., their correlation coefficient, r, equals zero. stocks a and c have returns that are negatively correlated with one another; i.e., r is less than 0. portfolio ab is a portfolio with half of its money invested in stock a and half in stock b. portfolio ac is a portfolio with half of its money invested in stock a and half invested in stock c. which of the following statements is correct? a. portfolio ab has a standard deviation that is greater than 25%.b. portfolio ac has an expected return that is less than 10%.c. portfolio ac has a standard deviation that is less than 25%.d. portfolio ab has a standard deviation that is equal to 25%.e. portfolio ac has an expected return that is greater than 25%.
Answers: 3
question
Business, 22.06.2019 20:00
Miller mfg. is analyzing a proposed project. the company expects to sell 14,300 units, plus or minus 3 percent. the expected variable cost per unit is $15 and the expected fixed cost is $35,000. the fixed and variable cost estimates are considered accurate within a plus or minus 3 percent range. the depreciation expense is $32,000. the tax rate is 34 percent. the sale price is estimated at $19 a unit, give or take 3 percent. what is the net income under the worst case scenario?
Answers: 2
question
Business, 22.06.2019 21:20
White truffles are a very prized and rare edible fungus that grow naturally in the countryside near alba, italy. suppose that it costs $200 per day to search for white truffles. on an average day, the total number of white truffles (t) found in alba is t = 20x − x 2 , where x is the number of people searching for white truffles on that day. white truffles can be sold for $100 each. if there is no regulation, how many more people will be searching for white truffles than the socially optimal number?
Answers: 1
You know the right answer?
Kiddy toy corporation needs to acquire the use of a machine to be used in its manufacturing process....
Questions
question
Mathematics, 10.11.2020 03:50
question
History, 10.11.2020 03:50
question
Mathematics, 10.11.2020 03:50
question
Mathematics, 10.11.2020 03:50