6-58. A pump for a reservoir must be operated continuously (8,760 hours per year). In the event of a large storm, the electricity from the local utility's power grid may be interrupted for an indefinite period of time. To deal with this emergency situation, two mutually exclusive backup diesel generators are being investigated. One of them will be chosen for implementation. Relevant data are provided as follows: tasia od Generator A Generator B Initial investment $100,000 $130,000 Annual operating 9,500 8,000 20AM and maint. Useful life, years 15

Advanced Engineering Mathematics
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6-58. A pump for a reservoir must be operated
continuously (8,760 hours per year). In the event
of a large storm, the electricity from the local utilitv's
power grid may be interrupted for an indefinite period of
time. To deal with this emergency situation, two mutually
exclusive backup diesel generators are being investigated.
One of them will be chosen for implementation. Relevant
data are provided as follows:
Generator A Generator B
Initial investment $100,000
Annual operating
$130,000
8,000 088
20AM
and maint.
9,500
Useful life, years o
15
If salvage values of both generators are negligible and
the study period is 60 years, which generator should be
chosen? The MARR is 10% per year. (6.5)
Togen
Transcribed Image Text:6-58. A pump for a reservoir must be operated continuously (8,760 hours per year). In the event of a large storm, the electricity from the local utilitv's power grid may be interrupted for an indefinite period of time. To deal with this emergency situation, two mutually exclusive backup diesel generators are being investigated. One of them will be chosen for implementation. Relevant data are provided as follows: Generator A Generator B Initial investment $100,000 Annual operating $130,000 8,000 088 20AM and maint. 9,500 Useful life, years o 15 If salvage values of both generators are negligible and the study period is 60 years, which generator should be chosen? The MARR is 10% per year. (6.5) Togen
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