Meggitt Systems, a company that specializes in extreme-high-temperature accelerometers, is in- vestigating whether it should update certain equip- ment now or wait and do it later. If the cost now is $280,000, what is the equivalent amount 2 years from now at an interest rate of 12% per year?
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- Meggitt Systems, a company that specializes in extreme-high-temperature accelerometers, is investigating whether it should update equipment now or wait and do it later. If the cost now is $280,000, what is the equivalent amount 2 years from now at an interest rate of 12% per year?A seaI firm Trodent’s customers expects to decrease downtime by 0.3 as a result of the new seal design. If Iost production would have cost the company $110,000 per year for the next four years, how much could the company afford to spend now on the new seals, if it uses an interest rate of 0,1 2 per year?How much money could a maker of super-conducting magnetic energy storage systems afford to spend now on new equipment that has an initial cost of$50,000, and operation costs of $1000 per yearbeginning 5 years from now if the company’s rate ofreturn is 12% per year?
- How much can the manufacturer of superconducting magnetic energy storage systems afford to spend now on new equipment in lieu of spending$75,000 four years from now? The company’s real MARR is 12% per year and the inflation rate is 3% per year.The Wildwood Widget Company needs a milling machine for its new assembly line. The machine presently costs $85,000, but has a cost inflation rate of 2%. Widget will not need to purchase the machine for 3 years. If general inflation is expected to be 4% per year during those 3 years, determine the price of the machine. What is the present worth of the machinery if the market rate of interest for Widget is 25%?A pulp and paper company is planning to set aside $150,000 now for possibly replacing its large synchronous refiner motors. If the replacement isn’t needed for 5 years, how much will the company have in the account provided it earns a market rate of 10% per year and the inflation rate is 4% per year?
- 19. How much can Rapir Rheosystems, Inc., afford to spend now on an energy management system if the software will save the company Php150000 per year for the next 5 years? Use an interest rate of 10% per year. A Php915765 Php80743.75819 Php130038.63 Php568618.0154Falkland, Inc., is considering the purchase of a patent that has a cost of $50,000 and an estimated revenue producing life of 4 years. Falkland has a cost of capital of 8%. The patent is expected to generate the following amounts of annual income and cash flows: A. What is the NPV of the investment? B. What happens if the required rate of return increases?Mason, Inc., is considering the purchase of a patent that has a cost of $85000 and an estimated revenue producing lite of 4 years. Mason has a required rate of return that is 12% and a cost of capital of 11%. The patent is expected to generate the following amounts of annual income and cash flows: A. What is the NPV of the investment? B. What happens if the required rate of return increases?
- Crow Corporation, a company that specializes in precision metal fabrication, is conducting a study to determine if it should update equipment now or later. If the cost 2 years from now is estimated to be $260,000, how much can the company afford to spend now if its minimum attractive rate of return is 12% per year compounded monthly?Elijah Enterprises will need to upgrade the computer system in 6 years. They anticipate the upgrade to cost $95,300. If the discount rate is 15%, what will be the required yearly investment needed to obtain the money for the upgrade?Round your (1+R)^n value to 2 decimal places and use that number for your final amount required rounded to the nearest dollar. Future Value / (1+R)^n = Amount Required / = What would be required if the discount rate was 8%? Future Value / (1+R)^n = Amount Required / =Zwango Plus Manufacturing expects that fixed costs of keeping its Zephyr Hills Plant operating will be $2.1M this year. If the fixed costs increase by $125,000 each year, what is the EUAC for a 15-year period? Assume the interest rate is 10%.