EBK BASICS OF ENGINEERING ECONOMY
EBK BASICS OF ENGINEERING ECONOMY
2nd Edition
ISBN: 8220102797123
Author: Blank
Publisher: YUZU
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Chapter 3, Problem 20P
To determine

Calculate the present worth.

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For the cash flows shown in the diagram, determine the future worth in year 8 at an interest rate of 10% per year.
Centrum Water & Gas provides standby power to pumping stations using diesel-powered generators. An alternative is the use of natural gas to power the generators, but it will be a few years before the gas is available at remote sites. Centrum estimates that by switching to gas, it will save $15,000 per year, starting 3 years from now through the end of year 20. At an interest rate of 8% per year, determine the present worth of the projected savings.
For the cash flow revenues shown below, find the value of G that makes the equivalent annual worth in years 1 through 7 equal to $500. The interest rate is 9% per year.

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EBK BASICS OF ENGINEERING ECONOMY

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