Q 3: no numerical problem

Q 6: 227.27 units per year; Q 9: 300 units per month

Q 14: 3,112 pumps per month, 2,404 pumps per month

Q 16: 50 units per month

Q 21: (a) 500 castings per hour, (b) If total costs increase by more than 42%, then 100 castings per hour would be the profit-maximizing production rate

Q 24 (a) For each cost component (capital, labor, maintenance), calculate cost per part and add them up. Machine A $5.75 per part and Machine B $5.32 per part

Q 24 (b): Machine A $3.09 per part and Machine B $3.66 per part

Q26: Consider tool cost + operator cost + tool changer cost + overhead for one cycle of operation (i.e., tool grinding time + production time or time between tool grinds). Note one unsharpened carbon steel tool lasts 10 cycles and one unsharpened tool steel tool lasts 5 cycles. Carbon steel $0.76 per piece and Tool Steel $0.71 per piece

Q 34: Total cost for 40 units with Lathe $200, with AS Machine $97

Q 36: Profit per ounce with Method A is $62.42 and with Method B is $76.50.

Q 4: $200 each year for the first 4 years and $100 each year for the remaining 4 years. Total interest $1,200

Q 5: Total interest: $1,823.07

Q 7: a) Year 1 Principal $3,141; Year 3 Interest $211.77; Year 3 Principal $3,529.54; b) $3,529.54

Q 9: $398; Q 11: $5,276; Q 15b: $1,516,600; Q 21: $109.56 (in terms of equivalent time values, equate initial investment to the sum of four years of net incomes and resale value, and solve for resale value); Q 26: $14,490 or e

Q 31: 5.2% per year; Q 33: 7% per year; Q 34: $11,090.40 (problem on deferred annuities; use time scale in months); Q 40: $384.56 (3 interest factors)

Q 54: $981.30; Q 57: $3,500.14; Q 65: $721.28; Q 66: $3,917.90

Q 79: $13,774.06; Q 81: a) $18,255.20; b) $18,764.10; c) $18,672.70

Q 84: $374.10; Q 88: $11,359; Q 102: $880.44