Order the answer to: A heavy construction firm has…
Question | A heavy construction firm has been awarded a contract to build a large concrete dam. It is expected that a total of 8 years will be required to complete the work. The firm will buy $600,000 worth of special equipment for the job. During the preparation of the job cost estimate, the following utilization schedule was computed for the special equipment: Utilization Utilization Year (hr/yr) Year (hr/yr) 1 6000 5 800 2 4000 6 800 3 4000 7 2200 4 1600 8 2200 At the end of the job, it is estimated that the equipment can be sold at auction for $60,000. (a) Compute the sum-of-years-digits’ schedule. (b) Compute the unit-of-production schedule. |
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Subject | business-economics |
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