How much will this investment in automation cost

Assignment Help Financial Management

Reference no: EM132009662

1. An uncle of yours who is about to retire wants to sell some of his stock and buy an annuity that will provide him with income of $19,000 per year for 30 years, beginning a year from today. The going rate on such annuities is 7.25%. How much would it cost him to buy such an annuity today?

a. $229,964.19

b. $229,953.39

c. $229,958.79

d. $229,974.99

e. $229,969.59

2. Suppose that Baldwin will increase its automation to 6.5 this year. Each new unit of automation costs $4 per unit of capacity. An additional $4 per point of automation applies to any new capacity. How much will this investment in automation cost? Capacity is currently at 3,500 and automation is currently at 4.5.

$56,000,000

$28,000,000

$24,500,000

$49,000,000

Reference no: EM132009662

Questions Cloud

Organizations in producing a quality product : Each of the standards ISO 9000, CMMI, and OPM3 prescribes a process to aid organizations in producing a quality product, but an organization

What is nancy option to purchase the land worth now : Nancy holds an option to purchase a plot of land which will expire in one year. The option gives Nancy or anyone else holding the option the right.

Determine specific international government-affiliated group : Determine two (2) specific international government-affiliated or nonprofit organizations with the ability to assist victims of your selected disaster or crisis

Prepare journal entries for transactions : Bentz corporation bought and sold several securities during 2013. Prepare journal entries for transactions

How much will this investment in automation cost : An additional $4 per point of automation applies to any new capacity. How much will this investment in automation cost?

Type of environments to have during a project : What might be some considerations when determining which type of environments to have during a project.

Innovative change management in smes : Innovative Change Management in SME's: beyond continuous improvement - Prepare an overall view of the proposal and the issues discussed

Show balance sheet of federal reserve and national bank : Show the balance sheet of the Federal Reserve and National Bank if National Bank converts all excess reserves to loans, but borrowers return only 50 percent.

Evaluate the importance of the groups use of media : Explain the group's major motivation(s) (beliefs or causes), and / or its justification for engaging in terrorism.

User Account

All Pages