-152000From the data shown, determine the ESL of the asset. (Note: Values in the table are AW values, not individual year-end values.)Years Retained1AW of First Cost, $AW of Salvage Value, $AW of Operating Cost, $-3600099,0002-136000-4600038,095345-150000-3500018,127-164000-470006464-150000-410003276The ESL of the asset isyear(s).

To determine the Economic Service Life (ESL) of the asset, we need to find the year with the minimum…

Answered: -152000 From the data shown, determine…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Economics Last year, a decision was made to keep the same equipment in lieu of buying new equipment. The old equipment's trade-in value last year was $4000 and its value this year is $2000. The operating cost was $700 last year. If bought last year, the new equipment would have cost $13K, the salvage value after 8 years would be $2000, and it would have an annual operating cost of $4000. If bought last year, what would have been the EUAC of the new equipment (in dollars) at 16% interest rate per year? (provide your answer in the box as a negative value if you arrive at costs) What would have been the correct decision? (provide your answer and justification in your pdf file submission)
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Required information The Briggs and Stratton Commercial Division designs and manufacturers small engines for golf turf maintenance equipment. A robotics-based testing system with support equipment will ensure that their new signature guarantee program entitled "Always Insta-Start" does indeed work for every engine produced. First cost of equipment AOC per Year Salvage Value Estimated Life Pull System $-1,950,000 $-680,000 $105,000 8 years Push System $-2,650,000 $-420,000 $60,000 8 years Compare the annual worth of the two systems at MARR = 8% per year. Select the better system. The push system ✓is determined to be the better system.
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Average expense operating expense year one 4000 year year 2 (4000) 3(4500) year three 4 5000 year 5 5500 slavage Value year 1 (6000) 2 (5000) 3 (4000) 4( 2500) 5(1250)
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A company makes bicycles. It buys the tires for bicycles from a supplier. 2 tires are used in one bicycle. According to the information below calculate the Economic Order Quantity for tires. Bicycle production per month: 450 units / month Cost of Tire: $25 / piece Annual Inventory Carrying Cost: 13% Ordering Cost: $50 / order
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A mass diagram from sta. 0+00 to sta. 50+00 is plotted as below. The free-haul distance is 1000' The earth excavation cost is $0.12 per yd and the overhaul cost is $0.02 per yd per station. Calculate the Economical Haul Distance. (Round to the nearest foot and fill in the blank with a number only.) 1000 500 -500 -1000 0+00 10+00 20+00 30+00 40+00 50+00 26+00 2+00 4+00 14+00 17+00 33+00 38+00 41+00 Stations 8+00 28+00 Cubic Yard

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