Past Exam Paper Mac 2008 Task 2.2 c
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Faraa
Registered Posts: 9 New contributor 🐸
Hello,
I'm having a really blond moment and can't work out the answer to 2.2 c)
I calculated the life cycle cost of 2,200,000 correctly but to what do I compare it to.
In the answer is say ' total net savings is 800,000 over 4 years'... where does the 3,000,000 come from?? It's probably really simple...
Many thanks for your help
I'm having a really blond moment and can't work out the answer to 2.2 c)
I calculated the life cycle cost of 2,200,000 correctly but to what do I compare it to.
In the answer is say ' total net savings is 800,000 over 4 years'... where does the 3,000,000 come from?? It's probably really simple...
Many thanks for your help
0
Comments

Hello,
I'm having a really blond moment and can't work out the answer to 2.2 c)
I calculated the life cycle cost of 2,200,000 correctly but to what do I compare it to.
In the answer is say ' total net savings is 800,000 over 4 years'... where does the 3,000,000 come from?? It's probably really simple...
Many thanks for your help
Hi faraa, its the reduction in labour costs re 2.2a £750,000 x 4 years = £3,000,000 less the cost of £2,200,000 gives you the net saving of £800,0000 
Fantastic, thanks very much for your answer. Didn't even think of calculating total labour savings...0

Fantastic, thanks very much for your answer. Didn't even think of calculating total labour savings...
It was required for 2.2a, be careful not to miss any questions, I nearly did it once myself. Also try to remember, they gave info regarding how many units the new machine could produce per hour compared to the old machine and I think its rare that they stick in info thats not needed, ie they don't seem to include red herrings.0
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