Compare the alternatives shown on the basis of their capitalized costs using an erest rate of 10% per year. Alternative M | Alternative N First cost, RM | Annual Operating Cost, RM per year Salvage value, RM Life, years 150,000 50,000 8,000 800,000 12,000 1,000,000 5
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A: Present worth = -P+(AR-Am)( P/A,i%,n)+F(P/F,i%,n)where P is the initial cost, AR is the annual…
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A: Given the interest rate = 9% life of alternative C=10 years life of alternative D = 5 years The…
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A: Present worth = -P+(AR-Am)( P/A,i%,n)-+F(P/F,i%,n)where, P is the initial cost, AR is the annual…
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Q: You have been asked to evaluate two alternatives, X and Y, that may increase plant capacity for…
A: Present worth of X can be calculated as follows:
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A: Present worth = -P+(AR-Am)( P/A,i%,n)-+F(P/F,i%,n)where, P is the initial cost, AR is the annual…
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A: Present worth is the value that shows the worth amount for today as compared to the future.
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A: Annual Worth refers to the equivalent uniform annual worth of all estimated income and expenses…
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A: Present worth = -P+(AR-Am)( P/A,i%,n)-+F(P/F,i%,n)where, P is the initial cost, AR is the annual…
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A: Present worth (PW) can be calculated by using the following formula.
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Q: Method DDM LS First Cost M&O Cost, per Year Salvage Value Life $-100,000 $-460,000 $-70,000 $2,000…
A: * SOLUTION :-
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Q: The alternatives shown are to be compared on the basis of their present worth values. At an interest…
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Q: Compare the alternatives shown on the basis of their capitalized costs using a MARR of 10% per year.…
A: Given; For alternative M:- First cost= -$140000 Annual cost= -$70000 Salvage value= $8000 Life= 5…
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A: Given the interest rate = 13% life of alternative A = 4 years life of alternative B = 8 years The…
Subject : Economy and Engineering Management
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- It is proposed to place a cable on existing pole line along the shore of a lake to connect two points on opposite sides. Which is more economical?Compare alternatives using the following methods:a) ROR on Additional Investment Methodb) Annual Cost Methodc) Equivalent Uniform Annual Cost Methodd) Present Worth Cost MethodIt is proposed to place a cable on existing pole line along the shore of a lake to connect two points on opposite sides. Which is more economical? Compare alternatives using the following methods:a) ROR on Additional Investment Methodb) Annual Cost Methodc) Equivalent Uniform Annual Cost Methodd) Present Worth Cost Method Show complete manual solution2. Two methods can be used for injection molding insulin injection pens. Method A Molding costs $120,000 initially and will have a $30,000 salvage value after 5 years. The operating cost with this method will be $20,000 per year. Method B Molding will have a first cost of $150,000, an operating cost of $15,000 per year, and a $40,000 salvage value after its 6 - year life. Determine which method should be selected at a MARR of 10%. - Use Present Worth Analysis Solve in Excel
- Two machines can be used to produce a part from titanium. The costs and other cash flows associated with each alternative are estimated. The salvage values are constant regardless of when the machines are replaced. Determine which alternative(s) should be selected for further analysis if alternatives must have a payback of 5 years or less. Perform the analysis with (a) i = 0%, and (b) i = 10% per year. Machine Semiautomatic Automatic First cost, $ −40,000 −90,000 Net annual income, $ per year 10,000 15,000 Maximum life, years 10 10 Salvage value, $ 0 0You have been asked to evaluate two alternatives, X and Y, that may increase plant capacity for manufacturing high-pressure hydraulic hoses. The parameters associated with each alternative have been estimated. Which one should be selected on the basis of a present worth comparison at an interest rate of 11% per year? Why is yours the correct choice? Alternative X Y First Cost $-30,000 $-60,000 Maintenance cost, per year $-9000 $-3000 Salvage Value $1,500 $2,500 Life 5 years 5 years The present worth of alternative X is $ __ and that of alternative Y is$ __. Alternative __ is selected by the company.A company that makes food-friendly silicone (for use in cooking and baking pan coatings) is considering the independent projects shown, all of which can be considered to be viable for only 10 years. If the company’s MARR is 15% per year, determine which should be selected on the basis of a present worth analysis. Financial values are in $1000 units. A B C D First cost, $ −1,200 −2,000 −5,000 −7,000 Annual net income, $/year 200 400 1100 1300 Salvage value, $ 5 6 8 7
- For these two AW relations, the breakeven point QBE in miles per year is closest to:AW1=-23,000(A/P,10%,10) + 4000(A/F,10%, 10) - 5000 - 4QBEAW2 =-8000(A/P,10%,4) - 2000 - 6QBEa. 1984b. 1224c. 1090d. 655You have been asked to evaluate two alternatives, X and Y, that may increase plant capacity for manufacturing high-pressure hydraulic hoses. The parameters associated with each alternative have been estimated. Which one should be selected on the basis of a present worth comparison at an interest rate of 15% per year? Why is yours the correct choice? Alternative X Y First Cost $-25,000 $-80,000 Maintenance cost, per Year $-13000 $-7000 Salvage Value $3,500 $4,500 Life 5 years 5 years The present wortIf the B/C value is exactly 1.0 or very near 1.0, non-economic factors can assist make the decision for the best alternative. Select one: True False
- Machines that have the following costs are under consideration for a robotized welding process. Use an interest rate of 10% per year and PW analysis to determine which machine should be selected. Machine X Machine Y First cost, $ −250,000 −430,000 AOC, $ per year −60,000 −40,000 Salvage value, $ 70,000 95,000 Life, years 3 6Seawater contains 2.1 pounds of magnesium per ton. By using the processingmethod A, 85% of the metal can be recovered at a cost of 3.25 per ton of water pumped andprocessed. If process B is used, 70% of the available metal is recovered, at a cost of only 2.60per ton of water pumped and processed. The two processes are substantially equal as toinvestment costs and time requirements. (a) If the extracted metal can be sold for 2.40 perpound, which processing method should be used? (b) At what selling price for the metal wouldbe two processes be equally economical?Answer with complete solution brief explanation. Thank you.Solve all this question......you will not solve all questions then I will give you down?? upvote.... Jenny is an engineer for a municipal power plant. The plant uses natural gas, which is currently provided from an existing pipeline at an annual cost of $10000 per year. Jenny is considering a project to construct a new pipeline. The initial cost of the new pipeline would be $35000, but it would reduce the annual cost to $5000 per year. Assume an analysis period of 20 years and no salvage value for either the new or existing pipeline. The interest rate is 6%. Show work a) Determine the equivalent uniform annual cost (EUAC) for the new pipeline. b) Should the new pipeline be built?