00 ASAP PLZZ Question 1A national company plan to purchase new machine. Two manufactures offered the estimates below:Manufacture AManufacture B-18,000-15,000-3,5003,1001000First Cost, SAnnual M&O cost $ per yearSalvage Value $Life, years2000Determine which manufacture should be selected on the basis of a Present Worth comparison if the MARR is 15% per year.O Manufacture B should be selected on the basis of a present worth comparison with PW=-$40,395O Manufacture A should be selected on the basis of a present worth comparison with PW= $44,222Manufacture B should be selected on the basis of a present worth comparison with PW=-$41.383None of the given answersO Manufacture A should be selected on the basis of a present worth comparison with PW=-$45,036

Present Worth: It is the present value of all cashflows including the annual savings and…

A national company plan to purchase new machine. Two manufactures offered the estimates below. Manufacture A -15,000 3,500 1000 First Cost, S Annual M&O cost $ per year Salvage Value S Life, years Manufacture B 18,000 3,100 2000 Determine which manufacture should be selected on the basis of a Present Worth comparison if the MARR is 15% per y O Manufacture B should be selected on the basis of a present worth comparison with PW=-$40,395 O Manufacture A should be selected on the basis of a present worth comparison with PW= $44,222 O Manufacture B should be selected on the basis of a present worth comparison with PW=-$41.383 O None of the given answers O Manufacture A should be selected on the basis of a present worth comparison with PW--$45,036

A national company plan to purchase new machine. Two manufactures offered the estimates below. Manufacture A -15,000 3,500 1000 First Cost, S Annual M&O cost $ per year Salvage Value S Life, years Manufacture B 18,000 3,100 2000 Determine which manufacture should be selected on the basis of a Present Worth comparison if the MARR is 15% per y O Manufacture B should be selected on the basis of a present worth comparison with PW=-$40,395 O Manufacture A should be selected on the basis of a present worth comparison with PW= $44,222 O Manufacture B should be selected on the basis of a present worth comparison with PW=-$41.383 O None of the given answers O Manufacture A should be selected on the basis of a present worth comparison with PW--$45,036

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter17: Long-term Investment Analysis

Section: Chapter Questions

Problem 10E

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