A 600-ton press used to produce compositematerial fuel cell components for automobiles using proton exchange membrane (PEM) technologycan reduce the weight of enclosure parts up to 75%. At MARR = 12% per year, calculate (a) capital recovery and (b) annual revenue required. (c) Solve using a spreadsheet.Installed cost = $-3.8 million n = 12 years Salvage value = $250,000Annual operating costs = $-350,000 in year 1, increasing by $25,000 per year

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.