Basics Of Engineering Economy
Basics Of Engineering Economy
2nd Edition
ISBN: 9780073376356
Author: Leland Blank, Anthony Tarquin
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 4, Problem 57P
To determine

Calculate the capitalized cost.

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The cost of maintaining a certain permanent monument in Washington DC occurs as periodic outlays of $1,000 every year and $5,000 every 3 years Calculate the capitalized cost of the maintenance using an interest rate of 10% per year. (Reminder: Capitalized Cost is the present equivalent value of an infinite pavment series. Use factors or formulas
The cost of maintaining a certain permanent monument in Washington DC occurs as periodic outlays of $1, 000 every year and $5, 000 every 3 years. Calculate the capitalized cost of the maintenance using an interest rate of 10% per year. (Reminder: Capitalized Cost is the present equivalent value of an infinite payment series.)
Two proposals remain for consideration that have been put forward for a hydroelectric system. Moreover, the water system of alternative 1 will cost $30 (unit $0,000) and need to be replace every 10 year indefinitely (starting end of year 10), and the water system of alternative 2 will cost $40 (unit $0,000) and will need to be replace every 15 year indefinitely (starting end of year 15). Estimate annual cost for each system which alternatives should be invested if the corporate MARR is currently 10% per year.

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Basics Of Engineering Economy

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