5.26 An industrial engineer is considering two robots for purchase by a fiber-optic manufacturing com- pany. Robot X will have a first cost of $80,000, an annual maintenance and operation (M&O) cost of S30,000, and a $40,000 salvage value. Robot Y will have a first cost of $97,000, an annual M&O cost of $27,000, and a $50,000 salvage value. Which should be selected on the basis of a future worth comparison at an interest rate of 15% per year? Use a 3-year study period.

5.26 An industrial engineer is considering two robots for purchase by a fiber-optic manufacturing com- pany. Robot X will have a first cost of $80,000, an annual maintenance and operation (M&O) cost of S30,000, and a $40,000 salvage value. Robot Y will have a first cost of $97,000, an annual M&O cost of $27,000, and a $50,000 salvage value. Which should be selected on the basis of a future worth comparison at an interest rate of 15% per year? Use a 3-year study period.

Solid Waste Engineering

3rd Edition

ISBN:9781305635203

Author:Worrell, William A.

Publisher:Worrell, William A.

Chapter4: Mechanical Processes

Section: Chapter Questions

Problem 4.12P

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