Included in the initial costs of the new project

Assignment Help Financial Management

Reference no: EM131553929

Six years ago, China Exporters paid cash for a new packaging machine that cost $347,000. Three years ago, the firm spent $14,300 on repairs and modifications to the machine. The machine is now fully depreciated and has just sat idly in a back corner of the shop for the past seven months. The estimated value of the machine today is $157,500. The firm is considering using this machine in a new project. If it does so, what value should be assigned to this machine and included in the initial costs of the new project?

Reference no: EM131553929

Questions Cloud

Weak form efficiency is best defined as a market : Weak form efficiency is best defined as a market where current prices are based on:

First step an investor takes when making an investment : What is the first step an investor takes when making an investment decision according to the separation principle?

Measures the interrelationship between two securities : Which one of these measures the interrelationship between two securities?

Deep water drilling has operations off the coast : Deep Water Drilling has operations off the coast of South America helping its clients tap into oil reserves located more than 10,000 feet below sea level.

Included in the initial costs of the new project : what value should be assigned to this machine and included in the initial costs of the new project?

What is the expected number of parts retrieved : A specific automotive part that a service station stocks in its inventory has an 8% chance of being defective. Suppose many cars come into the service station.

What led to or caused a particular outcome : What led to or caused a particular (good or bad) outcome? o Which Project Management Knowledge Area(s) are most important to your positions/answers?

Discuss the strategic challenges of an organisation : Reflect on what could be done to address these challenges (look at existing literature and other past/present examples)

The battered womens movement : Explain the accomplishments of the battered women's movement. What do they mean to you?

User Account

All Pages