Week five questions Speech or Presentation Example | Topics and Well Written Essays - 250 words

Week five questions - Speech or Presentation ExampleHence, Greene was right to have acquired Heartland stock.The site can be apply for 20 years before it r severallyes capacity. Bedford, which shares a facility in Bath Township with other municipalities, estimates that the new location will save $40,000 in yearly operating greets.All operating costs, except depreciation, require immediate payment outlays. On the basis of similar operations in other parts of the country, management anticipates that each trip will be sold out and that 120,000 passengers will be carried each season. Ignore income taxes.capital of South Carolina Enterprises is studying the replacement of some equipment that originally cost $74,000. The equipment is expected to provide six more years of service if $8,700 of major repairs are performed in two years. Annual cash operating costs impart $27,200. Columbia can sell the equipment now for $36,000 the estimated residual value in six years is $5,000.New equipme nt is available that will reduce annual cash operating costs to $21,000. The equipment costs $103,000, has a service life of six years, and has an estimated residual value of $13,000. Company sales will total $430,000 per year with both the existing or the new equipment. Columbia has a minimum desired return of 12% and depreciates all equipment by the straight-line method.a. By using the net-present-value method, determine whether Columbia should keep its present equipment or acquire the new equipment. Round all calculations to the nearest dollar, and ignore income