(b)AVILA Construction Sdn Bhd plans to buy a new truck crane. There are THREE (3)alternative brands to be evaluated in terms of cost estimation as shown in TableQ1(b). Given the MARR is 18% per annum. Noted that L3D represents the LastThree Digit of student matric number.Table Q1(b): Manufacturers, lives and costs of three lined slurry pumpCOST ITEMSSANISANESANUCapital InvestmentRM 28,000+ (1000 x L3D)RM 49,000 +RM 84,000(1000 x L3D)+(1000 x L3D)Annual Expenses:RM 1,500 per RM 1,000 in year RM 2,000 in year 1,1, and increasingRM 400/yrthereafterMaintenanceand increasing RM350/yr thereafteryearUseful life (years)Market Value (DisposalCost)8.4RM 10,000RM 20,000RM 10,000(i)Draw cash-flow diagram for each machine.(ii)Apply the private project evaluation method to compare the annual worth,AW for each machine.

Given information 3 alternatives available L3D is the last 3 digit of the student metric number. It…

(b) AVILA Construction Sdn Bhd plans to buy a new truck crane. There are THREE (3) alternative brands to be evaluated in terms of cost estimation as shown in Table Q1(b). Given the MARR is 18% per annum. Noted that L3D represents the Last Three Digit of student matric number. Table Q1(b): Manufacturers, lives and costs of three lined slurry pump COST ITEMS Capital Investment SANI SANE SANU RM 49,000 + RM 84,000 RM 28,000 (1000 x L3D) +(1000 x L3D) + (1000 x L3D) Annual Expenses: RM 1,500 per RM 1,000 in year RM 2,000 in year 1, 1, and increasing and increasing RM 350/yr thereafter Maintenance year RM 400/yr thereafter Useful life (years) Market Value (Disposal Cost) 6 8. 4 RM 10,000 RM 20,000 RM 10,000 (i) Draw cash-flow diagram for each machine. (ii) Apply the private project evaluation method to compare the annual worth, AW for each machine.

(b) AVILA Construction Sdn Bhd plans to buy a new truck crane. There are THREE (3) alternative brands to be evaluated in terms of cost estimation as shown in Table Q1(b). Given the MARR is 18% per annum. Noted that L3D represents the Last Three Digit of student matric number. Table Q1(b): Manufacturers, lives and costs of three lined slurry pump COST ITEMS Capital Investment SANI SANE SANU RM 49,000 + RM 84,000 RM 28,000 (1000 x L3D) +(1000 x L3D) + (1000 x L3D) Annual Expenses: RM 1,500 per RM 1,000 in year RM 2,000 in year 1, 1, and increasing and increasing RM 350/yr thereafter Maintenance year RM 400/yr thereafter Useful life (years) Market Value (Disposal Cost) 6 8. 4 RM 10,000 RM 20,000 RM 10,000 (i) Draw cash-flow diagram for each machine. (ii) Apply the private project evaluation method to compare the annual worth, AW for each machine.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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