Engineering Economy
Engineering Economy
16th Edition
ISBN: 9780133582819
Author: Sullivan
Publisher: DGTL BNCOM
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Chapter 11, Problem 26SE
To determine

Calculate the annual worth.

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Suppose for a project the following estimates are given as: Investment cost 1,000,000 TL (Deterministic value) 150,000 TL (Most likely estimate (probabilistic value) None Net annual benefits Salvage value Annual interest rate 8% (Deterministic value) Study Period 10 years Investigate the present worth at most likely estimate, - 10% and + 10% changes in net annual benefits and determine the decision reversal point.
The costs and revenue projections for a new product are estimated. What is the estimated profit at a production rate of 20% above breakeven? Fixed cost = $325,000 per year Production cost per unit = $236 Revenue per unit = $322 The estimated profit is determined to be $ per year.
The costs and revenue projections for a new product are estimated. What is the estimated profit at a production rate of 20% above breakeven? Fixed cost = $500,000 per year Production cost per unit = $200 Revenue per unit = $250
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