Should eddie recommend that purchase of the robot

Reference no: EM13179575

Eddie is a production engineer for a major supplier of component parts for cars. He has determined that a robot can be installed on the production line to replace one employee. The employee earns $20 per and benefits worth $8 per hour for a total annual cost of $58,240 this year. Eddie estimates this cost will increase 6% each year. The robot will cost $16,500 to operate the first year with costs increasing by $1500 each year. The firm uses an interest rate of 15% and a 10-year planning horizon. The robot costs $75000 installed and will have a salvage value of $5000 after 10 years. Should Eddie recommend that purchase of the robot?

Reference no: EM13179575

Questions Cloud

Draw the structures alkyl halides according to reactivity : Draw the structures and then List the following alkyl halides in order of their increasing reactivity as substrates in SN2 reactions

Describe cost estimation processes : What is the profit-maximizing price and output level. Solve this algebraically for equilibrium P and Q and alos plat the MC, D and MR curves. b. What profit do you expect that the firm will make in the first year? c. Do you expect this profit leve..

Explain what is the source of bromopentane : Does that indicate the original alcohol is in that mixture? What is the source of 2-bromopentane?

What is the ph of benzoic acid buffer solution : A buffer solution is prepared by dissolving 1.50 g each of benzoic acid, C6H5CO2H, and Sodium Benzoate, NaC6H5CO2, in a 150.00 ml of solution. The Ka for benzoic acid = 6.3E-5.

Should eddie recommend that purchase of the robot : Eddie is a production engineer for a major supplier of component parts for cars. He has determined that a robot can be installed on the production line to replace one employee. The employee earns $20 per and benefits worth $8 per hour for a total ..

Explain what factor is one reaction faster than the other : Assume a temperature of 298 K and 1 M concentration. By what factor is one reaction faster than the other?

Explain the mole fraction of benzene in the solution : The mole fraction of benzene in the solution is 0.590. Assumeing ideal behavior, calculate the mole fraction of toluene in the vapor above the solution.

Define the standard gibbs energy change : the Standard Gibbs energy change associated with this oxidation reaction is ca. 0. kJ/g.

State the numbers and kinds of atoms : Write chemical equations for the reaction of fluorine with the following substances, making sure that the numbers and kinds of atoms are the same on both sides of the equations. If no reaction occurs, write noreaction

User Account

All Pages