A machine costing 35000 to buy and 4000 per year to operate, Ask an Expert

Economics

A machine costing $35,000 to buy and $4,000 per year to operate will save mainly labor expenses in packaging over six years. The anticipated salvage value of the machine at the end of the six years is $5,000. To receive a 12% return on investment (rate of return), what is the minimum required annual savings in labor from this machine?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91402467

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