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Hello friend,
I am currently taking an online course that I need help with. What I need done is the homework and quiz that is due really soon. This course is online, and you will be provided with the access to it. There is a syllabus and textbook that will be provided to you. Feel free to use the course content stuff in the portal's folders as well.
Attached are images that provide guidance on how to navigate the website, as well as what the homework looks like.
Chapter 13: Capital Budgeting Decisions IS WHAT YOU'LL CLICK ON.
is the thing you click on. COMPLETE BOTH THE HOMEWORK AND QUIZ. ONCE YOU ARE DONE WITH THE HOMEWORK, DO NOT SUBMIT IT DIRECTLY BUT ATTACH IT HERE.
ONCE AGAIN, COMPLETE THE HOMEWORK AND ATTACH IT HERE ONLY. IF YOU SUBMIT IT DIRECTLY I WILL BE FORCED TO ASK FOR A REFUND.
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Explanation & Answer

Here is the excel solution
Data Problem 1
SWEETWATER CANDY COMPANY
New machine cost
Life expectancy in years
Overhaul costs in 6th year
Selling price after 12 years
Annual operating costs of machine
Annual operating costs of manual dipping
Increased box production from machine per year
Contribution margin per box
Required return on investment
$120,000
12
$9,000
$7,500
$7,000
$30,000
6,000
$1.50
20%
The Sweetwater Candy Company would like to buy a new machine that would automatically "dip"
chocolates. The dipping operation is currently done largely by hand. The machine the company
is considering costs $120,000. The manufacturer estimates that the machine would be usable for
12 years but would require the replacement of several key parts at the end of the sixth year. These
parts would cost $9,000, including installation. After 12 years, the machine could be sold for $7,500.
The company estimates that the cost to operate the machine will be $7,000 per year. The present
method of dipping chocolates cost $30,000 per year. In addition to reducing costs, the new machine
will increase production by 6,000 boxes of chocolates per year. The company realizes a contribution
margin of $1.50 per box. A 20% rate of return is required on all investments.
Required:
1. What are the net annual cash inflows that will be provided by the new dipping machine?
2. Compute the new machine's net present value. Use the incremental cost approach and round
all dollar amounts to the nearest whole dollar.
Student Name:
Class:
Problem 1
SWEETWATER...
