Q3) Based on the final results of PI which one of the following project are more acceptable? Note: r=10% for both projects. project (Y) Cash Flow Project (X) Year Cash Flow Year -5000 -7000 1 1900 1 2120 2100 2210 3 2050 3 2030 4 950 4 1180 975 1198
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- (engineering economic) An investor invests in a project that requires an initial investment of Rp. 10,000,000,000 and then p. 5,000,000,000 in the following year. The project started in the second year with an operational cost of Rp. 200,000,000 in the first year and the amount increases by 10% every year until the proj lends for 10 years. Meanwhile, the income from the project for the first 5 year was uniform (A) while during the second 5 years this income increased to 1 5 times the annual revenue for the first 5 years (1.5A). The estimated residual value at the end of the project's operational life is Rp. 2,500,000,000 and investors expect the return on their investment to be 15% annually. a. Determine the minimum annual income for this project for the first 5 years and the next 5 years, so that the project does not suffer losses b. Draw the cash flows of the investment over 10 years.A fabrication company engaged in production with a capacity of 150, 000 pieces per year. But, it is just operating at 70% of its full capacity. The company has an annual income of P 250, 000.00, annual fixed cost are P 50, 000.00 and variable costs are P 1.00 per unit. How many productions of parts must be produced for break-even point? Given: Required: Solution: refer to this textbook: https://drive.google.com/file/d/1h4ra80IE8IRtYyja16iK6TtjCrTDi73j/view?usp=sharinga young engineer wishes to become a millionaire by the time he is 60 years old. He belives that by careful investment he can obtain a 15% rate of return. He plans to add a uniform sume of money to his investment program each year, beginning on his 20th birthday and continuing through his 59th birthday. How much money must the enigneer set aside in this project each year? Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
- a project’s initial cost of $220,000 is borrowed from a bank. The following net cashflow is expected in the first 5 years End of Year Net Cashflow $21,000 $42,000 -$11,500 $33,000 $17,500 The company’s MARR is 12%. Calculate in table the loan balance and project balance of each year? also find out the NFW and NPW of the project?You need to determine whether a project is profitable or not in a long run. Based on the data given, which of theseprojects will be profitable according to engineering economy methods?a. θ = 3 yrs., Net Value: 0b. Accumulated (without interest) net values of the revenues, expenses and investments after 5 years is +300.c. Accumulated (without interest) net values of the revenues, expenses and investments after 4 years is +100.d. θ = 6 yrs., Net Value: +400A public-private initiative in Texas will significantly expand the wind-generated energy through- out the state. The cash flow for one phase of the project involving Central Point Energy, a trans-mission utility company, is shown. Given reinvestment rate of 14% per year for excess funds and 10 % per year for borrowing rate for extra funds, determine: given MARR = 12% Year Net cash flow 0 -50000 1 +22000 2 +38000 3 -2000 4 -1000 5 +5000 a) How many number of ROR values is expected and why? b) Calculate the external rate of return (MIRR). c) Is the project economically viable?
- Given EVM data, estimate the cost at completion of a project using the method "EAC based on combined cost and schedule performance." BCWS = $82.2M BCWP = $70.5M ACWP = $95.5M BAC = $105.5M A) $130M B) $150M C) $160M D) $170MConsider your self as a businessman, you owned 5 storey building with a total of 35-unit apartment near at the downtown area of Davao City. You felt that because the location of the apartment will be occupied 95% at all time. You desires a rate of return 30%. Other pertinent data are the following: Land investment - 8,000,000.00 Building investment - 20,000,000.00 Study period - 30 yrs Cost of the land after 30 yrs - 25,000,000.00 Cost of the building after 30 yrs - 5,000,000.00 Rent per unit per month - 7,500.00 Upkeep per unit per year - 1,500.00 Property Taxes - 1% Insurance - 0.5% Is this a good investment? And what is the Payback period of investment? Note: use all the method.A city has developed a plan to provide for future municipal water needs. The plan proposes an aqueduct that passes through 150 meters of tunnel in a nearby mountain. Two alternatives are being considered. The first proposes to build a full-capacity tunnel now for $556 000. The second proposes to build a half capacity tunnel now and a second identical half-capacity tunnel in 20 years. Each of half capacity tunnel costs $402 000. The maintenance cost of the tunnel lining for the full-capacity tunnel is $40 000 every 10 years, and for each half-capacity tunnel it is $32 000 every 10 years. The friction losses in the half-capacity tunnel will be greater than if the full-capacity tunnel were built. The estimated additional pumping costs for each half-capacity tunnel will be $2 000 per year. Using present worth method and a 7% interest rate, which alternative should be selected? Give typing answer with explanation and conclusion
- Please answer with CFD: In building a plant, the Santos Novelty Corporation had the choice between three alternatives: One alternative is to build in San Mateo, Rizal where the plant would cost P2,000,000. Annual labor would cost P120,000 and annual overhead cost of P40,000. Taxes and insurance would total 5% of the first cost of the plant. The second alternative would be to build in Montalban Rizal where the plant would cost P1,950,000. Labor would cost annually P115,000 and overhead would be P50,000. Taxes and insurance would be 4% of the first cost. The third alternative would be to build in Marikina City a plant costing P2,250,000. Labor would cost annually P100,000 and overhead would be P55,000. Taxes and insurance would be 3% of the first cost. The cost of raw materials would be the same in other plant. If capital must be recovered within 10 years and money is worth at least 20%, which site should the officers of the company choose? Use Future Worth Cost Method.The owner shop is contemlating adding anew product which will require additional mouthly payment of 6000, variable costs would be brirr. 2 per new product & its selling price is brirr. 7 each How many uint must be sold to realize profit of brirr 4000?You deposit $5000 into an account that will grow to $14,930 in 6 years. Your rate of return on this investment is closest to what value? (a) 18% (b) 20% (c) 22% (d) 25%
