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Question
Advantage Milling Devices is preparing to buy a new machine for precision milling of special metal alloys. This device can earn $300 per hour, and can run 3,000 hours per year. The machine is expected to be this productive for four years. If the interest rate is 6%, what is the net present value of the annual cash flows? What is the net present value if the interest rate is not 6%, but 9%? Why does present value fall when interest rates rise?
Answer
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Related questions
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B) eliminate forecast errors.
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Q:
Weight Day
Package 1
Package 2
Package 3
Package 4 Monday
23
22
23
24 Tuesday
23
21
19
21 Wednesday
20
19
20
21 Thursday
18
19
20
19 Friday
18
20
22
20 (a) If he sets an upper control limit of 21 and a lower control limit of 19 around the target value of twenty ounces, the control chart is based on what value of z?
(b) With the UCL and LCL of part a, what do you conclude about this processis it in control?
Answer:
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A) 18.18% of the throughput time
B) 100% of the throughput time
C) 550% of the throughput time
D) 50% of the throughput time
E) 1.82% of the throughput time