Vandalay Industries is considering the purchase of a new machine for the production of latex. Machine A costs $2,110,000 and will last for 6 years.
Vandalay Industries is considering the purchase of a new machine for the production of latex. Machine A costs $2,110,000 and will last for 6 years. Variable costs are 38 percent of sales and fixed costs are $129,000 per year. Machine B costs $4,240,000 and will last for 10 years. Variable costs for this machine are 26 percent of