Example S: Machines A' and B' are detailed below:ItemsMachine AMachine B50,000Cost50,000Annual carning alter depreciation and taxes:Ist year2nd year3rd year4th yearSth year3,00011,0005,0007,0009,00011,00035,0009,0007,0005,0003,00035,000Depreciation has been charged on straight line basis and estimated life of both machines is five years. You arerequired to find out:I) Average rate of return on machines 'A' and 'B'.

Answered: Image /qna-images/answer/ab0d6cdb-bb35-4f40-95f0-eb49bf54412c.jpg

Answered: Depreciation has bcen charged on…

Linear Algebra: A Modern Introduction

4th Edition

ISBN:9781285463247

Author:David Poole

Publisher:David Poole

Chapter2: Systems Of Linear Equations

Section2.4: Applications

Problem 23EQ: 23. Consider a simple economy with just two industries: farming and manufacturing. Farming consumes...

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23. Consider a simple economy with just two industries: farming and manufacturing. Farming consumes 1/2 of the food and 1/3 of the manufactured goods. Manufacturing consumes 1/2 of the food and 2/3 of the manufactured goods. Assuming the economy is closed and in equilibrium, find the relative outputs of the farming and manufacturing industries.
A car dealership wants to try out a new leasing arrangement, which will allow a buyer to trade a car back to the dealership for a certain amount of credit at any time throughout the first two years of ownership. For a car in good condition, the arrangement will value the car at 1/2 the original price at the end of two years, and will depreciate the value of the car linearly over the course of the two years. What is the value of a car with initial purchase price P at the end of the first year? Write your answer as an expression in terms of P. Write the exact answer. Do not round.
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Company Z has the following historical information about sales for one of its hydraulic pump models for the last 4 years: (PICTURE OF THE PERIOD AND YEARS) On the other hand, the manufacturing process used by Company Z is sequential* and has the following characteristics: (THE OTHER IMAGE) * Sequential; in the sense that the output of Mi is the input of Mi+1.** In any order; in the sense that they can be interchanged, e.g. MA -> MB or MB -> MA. The company's operating costs are as follows: Cost per final unit produced "defect free": $100 Cost per final unit produced "with defects": $150 Cost per excess inventory (units "free of defects"): $50 Cost per inventory shortage ("defect free" units): $200 Revenue per final "defect free" unit produced and sold: $250 We have the following operating conditions: - Any sequence of 3 machines can be used.- Only one machine can be used once, within the same sequence of machines.- You can work UP TO 720 hours per month.- A "level production"…

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Depreciation has bcen charged on straight line basis and cstimated life of both machincs is five years. You are required to find out: 1) Average rate of return on machines 'A' and 'B'.