EBK ENGINEERING ECONOMY
17th Edition
ISBN: 9780134838229
Author: Sullivan
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Textbook Question
Chapter 3, Problem 14P
The capital investment cost for a switchgrass-fueled ethanol plant with a capacity of 250,000 gallons per year is $6 million. The cost-capacity factor for this particular plant technology is 0.59 for capacities ranging from 200,000 gallons per year to 500,000 gallons per year. What is the estimated capital investment for a similar ethanol plant with a capacity of 450,000 gallons per year? (3.4)
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
i will 10 upvote no chatgpt
17.3 A self-propelled combine with a four-row 101.6 cm [40 in] corn head has a list price of
$40,000. The diesel engine has a maximum power of 91 kW[122 hp). The combine is driven
at 6.4 km/hr [4 mi/hr] and at a field efficiency of 65% for an average of 150 hours per year.
What is the average cost per hour and per hectare [acre]? The combine is expected to be
owned for 10 years. Diesel fuel costs 13¢/L [49¢/gal).
3
Chapter 3 Solutions
EBK ENGINEERING ECONOMY
Ch. 3 - A green (environmentally friendly) office building...Ch. 3 - You are planning to build a new home with...Ch. 3 - Prob. 3PCh. 3 - Prob. 4PCh. 3 - Prob. 5PCh. 3 - Prob. 6PCh. 3 - Prob. 7PCh. 3 - Prepare a composite (weighted) index for housing...Ch. 3 - Prepare a composite (weighted) index for housing...Ch. 3 - Prob. 10P
Ch. 3 - Prob. 11PCh. 3 - Prob. 12PCh. 3 - Prob. 13PCh. 3 - The capital investment cost for a...Ch. 3 - The capacity of a switch grass-fueled ethanol...Ch. 3 - Prob. 16PCh. 3 - The time to assemble the first unit on a...Ch. 3 - Prob. 18PCh. 3 - For the data below (3.4 .3) a. Find the regression...Ch. 3 - A company that manufactures shuttle cars and mines...Ch. 3 - Prob. 21PCh. 3 - Prob. 22PCh. 3 - Prob. 23PCh. 3 - Prob. 24PCh. 3 - Prob. 25PCh. 3 - Prob. 26PCh. 3 - Prob. 28SECh. 3 - Prob. 31CSCh. 3 - Prob. 32CSCh. 3 - Prob. 36FECh. 3 - Prob. 37FECh. 3 - Prob. 38FECh. 3 - Prob. 39FECh. 3 - Prob. 40FECh. 3 - Prob. 41FE
Additional Business Textbook Solutions
Find more solutions based on key concepts
Explain how to derive a total expenditures (TE) curve.
Macroeconomics (Book Only)
Using the midpoint formula, calculate elasticity for each of the following changes in demand.
Principles of Economics (12th Edition)
You are advising a coffee shop manager who wants to estimate how much sales will change if the price of a latte...
Microeconomics
A typical discounted price of a AAA battery is 0.75. It is designed to provide 1.5 volts and 1.0 amps for about...
Engineering Economy (16th Edition) - Standalone book
The use of factor of production by business.
Economics Today and Tomorrow, Student Edition
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Similar questions
- An Engineering consultant firm measures its output in a standard hour unit, which is a function of the personnel grade levels in the professional stuff. The variable cost is $62 per standard service hour. The charge-out rate (i.e., selling price) is $85.56 per hour. The maximum output of the firm is 160,000 hours per year, and its fixed cost is $2,024,000 per year. For this firm: (a) What is the breakeven point in standard service hours and in percentage of total capacity? (b) What is the percentage reduction in breakeven (sensitivity) if fixed costs are reduced 10%; if variable cost per hour is reduced 10%; and if the selling price per unit is increased by 10%. 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.arrow_forwardPure gasoline has an energy density of 115,600 BTU per gallon while ethanol has an energy density of 75,670 BTU per gallon. If gasoline costs $3.50 per gallon, (a) what would the cost of pure ethanol have to be in order for the energy costs of the two fuels to break even? (b) What would the price of E85 (85% ethanol, 15% gasoline) have to be for its energy cost to be the same as that of pure gasoline?arrow_forward8.24 The Ecology Group wishes to purchase a piece of equipment for various metals recycling. Machine 1 costs $123,000, has a life of 10 years, an AOC of $5000, and requires one operator at a cost of $24 per hour to process 10 tons per hour. Machine 2 costs $70,000, has a life of 6 years, an AOC of $2500, and requires two operators at a cost of $24 per hour for each operator to process 6 tons per hour. a. Determine the breakeven tonnage of scrap metal at i = 7% per year and select the better machine for a processing level of 1000 tons per year.arrow_forward
- If company A manufactures t-shirts and sells them to retailers for US$9.80 each. It has fixed costs of $2625 related to the production of the t-shirts, and the production cost per unit is US$2.30. Company B also manufactures t-shirts and selll them directly to consumers.The demand for its product is p = 15 −x 125, its production cost per unit is US$5.00 and its fixed cost are the same as for company A . (i) Derive the total revenue function, R(x) for company A. (ii) Derive the total cost function, C(x) for company A. (iii) Derive the profit function, Π(x) for company A. (iv) Using a spreadsheet, create a table for showing x, R(x)?, C(x) for company A in the domain x = 50, 100, 150, 200, 250, 300, 350, 400, 450.(v) Graph the functions from (d) above on the same axes. (vi) From your graph, determine the break-even level of output for company A. (vii) Derive the total revenue function, R(x) for company B. (viii) Derive the profit…arrow_forwardRr.5.arrow_forwardA company has a project for building and operating a new electricity generation station. The operation costs of generators is given by: Co = MHN3 Where M is constant, H is the operation hours, and N is the number of generators. It is known that, when the company uses 12 generators, the operation cost is found to be $ 250 per hour. Other overhead costs including electricity transformation and maintenance are estimated to be $40000 for each hour per generator. 1- What is the optimum number of generators to be used in order to 2- How to ensure your answer to part (1) is correct. imize costs?arrow_forward
- A 1,500,000 SF plant employs 300 people and produces 233,000 LCD panel per month. The plant is idle, on average, 2 months each year for maintenance, repairs, and retooling. The plant has fixed costs of $5,000,000 per month and variable costs of $70 per LCD panel. What is the total operating cost for the plant per YEAR? Express your answer in $ to the nearest $1 million.arrow_forwardGiven the following information, how many units must be sold to achieve a profit of $25,000? [Note that the units sold must account for total production costs (direct and overhead) plus desired profit.]arrow_forwardThe annual fixed costs for a given factory are $150,000, the variable cost is $30 per unit and the selling price is $50 per unit. If the production capacity for this factory is 10,000 units per year, how many units should be made to have an annual profit of $25,000? * 7,500 10,000 8,750 7,850 5,700 Nonearrow_forward
- The capital investment cost for a switchgrass-fueled ethanol plant with a capacity of 300,000 gallons per year is $6.4 million. The costcapacity factor for this particular plant technology is 0.57 for capacities ranging from 250,000 gallons per year to 550,000 gallons per year. What is the estimated capital investment for a similar ethanol plant with a capacity of 500,000 gallons per year? The estimated capital investment for a similar ethanol plant with a capacity of 500,000 gallons per year is $ (Round to the nearest ten thousands.)arrow_forwardThe capital investment cost for a switchgrass-fueled ethanol plant with a capacity of 250.000 gallons per year is $6.6 million. The costcapacity factor for this particular plant technology is 0.62 for capacities ranging from 200.000 gallons per year to 600.000 gallons per year. What is the estimated capital investment for a similar ethanol plant with a capac of 550.000 gallons per year? The estimated capital investment for a similar ethanol plant with a capacity of 550,000 gallons per year is $ (Round to the nearest ten thousands)arrow_forwardA manufacturer produces a piece of plywood at a labor cost of P20.00 and material at P35.00. The fixed charges on business are P150,000.00 a month and the variable cost is P20.00 a piece. If one plywood sells for P60.00 each, how many pieces must be produced each month for the manufacturer to break even?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education
Difference between Renewable and Nonrenewable Resources; Author: MooMooMath and Science;https://www.youtube.com/watch?v=PLBK1ux5b7U;License: Standard Youtube License