Find the total cost of the material handling system hints, Operation Management

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Find the total cost of the material handling system hints

Question: Total cost related to material handling system.

Consider a manufacturing unit with two conveyor lines

Required length of each conveyor line is 16000 ft

Cost per foot is $25

Installation cost is 40% of purchase cost

Salvage value is 10% of purchase cost

i. Find the total cost of the material handling system (Hints: total cost = purchase cost + installation cost)

ii. Find the total salvage value (include both machines)

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Operation Management: Find the total cost of the material handling system hints

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