subject
Business, 23.03.2021 01:30 Goldenstate32

You must select a high-speed transportation option between Charlotte and Raleigh. The first option is a revolutionary Tube Train with an initial investment of $350 million with yearly maintenance costs of $25 million. You will have to overhaul the Tube Train every 50 years at a cost of $350 million and at the same yearly maintenance cost. The second option is the reliable Point-to-Point Transporter with an initial investment of $425 million dollars and a yearly maintenance cost of 2% of the initial investment. You will overhaul the Transporter every 20 years at the same $425 million dollar cost and have the same yearly maintenance cost. Calculate the Capitalized Cost for each option and use that to justify which option to choose using a MARR of 7% compounded semiannually

ansver
Answers: 3

Other questions on the subject: Business

image
Business, 22.06.2019 04:00, elijahcraft3
Wallis company manufactures only one product and uses a standard cost system. the company uses a predetermined plantwide overhead rate that relies on direct labor-hours as the allocation base. all of the company's manufacturing overhead costs are fixed—it does not incur any variable manufacturing overhead costs. the predetermined overhead rate is based on a cost formula that estimated $2,886,000 of fixed manufacturing overhead for an estimated allocation base of 288,600 direct labor-hours. wallis does not maintain any beginning or ending work in process inventory.
Answers: 2
image
Business, 22.06.2019 15:10, emilee30
You want to have $80,000 in your savings account 11 years from now, and you’re prepared to make equal annual deposits into the account at the end of each year. if the account pays 6.30 percent interest, what amount must you deposit each year? (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)
Answers: 1
image
Business, 22.06.2019 18:10, zaratayyibah
Ashop owner uses a reorder point approach to restocking a certain raw material. lead time is six days. usage of the material during lead time is normally distributed with a mean of 42 pounds and a standard deviation of four pounds. when should the raw material be reordered if the acceptable risk of a stockout is 3 percent?
Answers: 1
image
Business, 22.06.2019 20:50, lopez5628
Many potential buyers value high-quality used cars at the full-information market price of € p1 and lemons at € p2. a limited number of potential sellers value high-quality cars at € v1 ≤ p1 and lemons at € v2 ≤ p2. everyone is risk neutral. the share of lemons among all the used cars that might be potentially sold is € θ . suppose that the buyers incur a transaction cost of $200 to purchase a car. this transaction cost is the value of their time to find a car. what is the equilibrium? is it possible that no cars are sold
Answers: 2
You know the right answer?
You must select a high-speed transportation option between Charlotte and Raleigh. The first option i...

Questions in other subjects:

Konu
Mathematics, 25.06.2019 04:00