Machine a Has a Purchase Price of $500 and Lasts

question 20

Multiple Choice

Machine A has a purchase price of $500 and lasts for 10 years at which time it has a salvage value of $50.It produces 500 units per year.Machine B costs $500 and has a scrap value of $100 after 15 years.How many units per year should Machine B produce if a buyer is to be indifferent between the 2 machines if j₁ = 4%? Assume zero maintenance costs and answer to the nearest unit.

• A)464
• B)370
• C)358
• D)348

Recognize the importance of environmental factors and community infrastructure in disease prevention.

Understand the historical development of public health initiatives and their impact on community health.

Analyze the role of government and non-governmental organizations in the advancement of public health.

Identify key figures and their contributions to public health and nursing.

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Definitions:

P-value

The likelihood of getting test outcomes that are at least as significant as those seen in the test, under the assumption that the null hypothesis holds correct.

Z

In statistics, typically refers to a standard score indicating how many standard deviations an element is from the mean.

Null Hypothesis

A hypothesis in statistical analysis that assumes no significant difference or effect exists between certain characteristics, conditions, or variables.

Significance Level

The significance level, also known as alpha, is a pre-determined threshold for statistical significance, used to decide whether an observed effect is not due to chance.