Acme motors has need of several new pieces of equipment

Assignment Help Accounting Basics
Reference no: EM131018227

Acme Motors has need of several new pieces of equipment for the manufacturing floor. One of these, an advanced 6­axis robotic arm, is something Acme believes it could particularly put to good use. The specific information for this purchase is given in the table below.

Initial cost of the robotic arm

-$345,000

Reduced annual cost over current equipment

$96,000

Annual additional maintenance and programming cost

-$17,000

Anticipated market value of the robotic arm after 10 years of life

$95,000

Initial cost of the robotic arm ­$345,000 Reduced annual cost over current equipment $96,000 Annual additional maintenance and programming cost ­$17,000 Anticipated market value of the robotic arm after 10 years of life $95,000 What is the capital recovery cost for the investment in the robotic arm? Acme’s MARR is 18%


Reference no: EM131018227

Questions Cloud

Find a problem in managing operations and supply chains : Find a problem in managing operations and supply chains from the real business world (from work or from any business articles/cases) - Identify specific OSCM concepts/tools that can be applied to the problem
Mike cichanowski founded wenonah conie : Mike Cichanowski founded Wenonah Conie, and later purchased Current Designs a company that designs and manufactures kayaks.
Describe the shape of the distribution of the bank branch : Explain why you would think that the shape you describe above in a) happens with this type of data.The type of data is a collection of waiting times at a local bank in a commercial district during a lunch time. If you were one of these customers,..
Which of the following is not a parasympathetic effect : The figure illustrates the parasympathetic division. What does "E" represent?
Acme motors has need of several new pieces of equipment : Acme Motors has need of several new pieces of equipment for the manufacturing floor.
Derive a formula for the induced emf : Derive a formula for the induced EMF in the smaller coil as a function of time - In which direction will current flow in the smaller coil? Explain how you know.
Explain a financial crime case recently discussed in media : Explain a financial crime case recently discussed in the news media. The case can be currently open or closed. What has happened to the key players since the events in this case?
Describe an example of these hormones and their function : How do second messengers effect changes inside of cells?
Discuss the payroll process for an organization : Write a one page research paper in which you discuss the payroll process for an organization. Start your paper with an introduction that includes a very brief description of the organization you chose.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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