A company can manufacture a product using hand tools. Tools will cost $1,000, and the manufacturing cost per unit will be $1.50. As an alternative, an automated system will cost $15,000 with a manufacturing cost per unit of $0.50. If the anticipated annual volume is 5,000 units and interest is neglected, the payback period (yrs) to buy the automated system rather than the hand tool method is most nearly:

A. 2.8
B. 3.6
C. 15.0
D. never

A.2.8

Explanation:

guess in order to break even, the two alternatives has toequal so:

t=time (year):

so:

first choice

$1500 -fixed

$1.50 per unit which equal to $1.50*5000=$7500 per year

alternative

$15,000 -fixed

$0.50 per unit which equals to $0.50*5000=$2500 per year

so:

t=2.8 years.

b. a single paragraph.

a paragraph is a series of sentences that are organized and make sense, and are all related to a single topic . almost every piece of writing you do that is longer than a few sentences should be organized into paragraphs. this is because paragraphs show a reader where the subdivisions of an essay begin and end, and thus the reader see the organization of the essay into subjects in order to be able to understand its main points.

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