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You work for Cannondale Bicycle Company and you are considering an upgrade to the heat treatment area This upgrade is expected to shorten the amount of heat treat time needed resulting in a $28,000 per year energy cost savings for the next 5 years, which is a benefit to the company. To pay for the upgrade, you will withdraw money from an investment paying 7% interest compounded annually. What is the maximum amount that you would recommend your company should pay for this upgrade? $94,841.60 O $104,863.00 $161,019.60 $114,805.60

engineering   Mechanical-Engineering   
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Answer #1

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