How much is the Total Processing time needed using machine A?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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A manager must decide which type of machine to buy, A, B, or C. Machine costs are as follows:
MachineCost
40000
30000
80000
Product forecasts and processing times on the machines are as follows
Processing Time
Annual Per unit (minutes)
Product Denmand
16000
A
B.
3
2
12000
4
3.
6000
5.
4
4.
30000
2
Assume that only purchasing costs are being considered.
Machines operate 10 hours a day, 250 days a year.
How much is the Total Processing time needed using machine A?
Select one:
O a. 122,000 minutes
Ob. 208,000 minutes
80.000 hours
Od. 186.000 minutes
44 02
ABC
Transcribed Image Text:A manager must decide which type of machine to buy, A, B, or C. Machine costs are as follows: MachineCost 40000 30000 80000 Product forecasts and processing times on the machines are as follows Processing Time Annual Per unit (minutes) Product Denmand 16000 A B. 3 2 12000 4 3. 6000 5. 4 4. 30000 2 Assume that only purchasing costs are being considered. Machines operate 10 hours a day, 250 days a year. How much is the Total Processing time needed using machine A? Select one: O a. 122,000 minutes Ob. 208,000 minutes 80.000 hours Od. 186.000 minutes 44 02 ABC
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