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What is the breakeven number of bed days, that is, the number at which the hospital is indifferent between the two technologies?
This case illustrates the analysis of (1) alternative technologies and (2) a simple replacement decision. The worksheet has a single input section, but it has separate models that analyze the cash flows associated with the two alternatives at hand. The model consists of a complete base case analysis-no changes need to be made to the existing MODEL-GENERATED DATA section. However, all values in the student version INPUT DATA section have been replaced with zeros. Thus, students must determine the appropriate input values and enter them into the model. These cells are colored red.
When this is done, any error cells will be corrected and the base case solution will appear. Note that the model does not contain any risk analyses, so students will have to create their own if required by the case. Furthermore, students must create their own graphics (charts) as needed to present their results.
Attachment:- Assignment.rar
Should Henderson Company make or buy the subassembly? If it makes the sub- assembly, which alternative should be chosen? Explain and provide supporting computations.
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Downing Company purchased a new machine on October 1, 2012, at a cost of $90,000. The company estimated that the machine has a salvage value of $6,000. The machine is expected to be used for 70,000 working hours during its 8-year life.
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