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A chemical engineer is determining the most economical alternative by comparing three alternatives, as well as the do nothing alternative, for a new chemical process. He investigates the costs and the benefits for each of the alternatives and detemines the net present worth of each alternative using a minimum attractive rate of return of 10%. All of the altenatives will have a life span of 20 years. The three potential altermatives being analyzed are listed in the table and figures are the cash flow diagrams for the potential chemical processes. Chemical Engincering Process Alternatives Uniform Not Torminal Value at the Alternative Tolal Investment Annual Benefit End of 20 Years Chemical process I Chemical process 2 Chemical proess 3 $500,000.00 551,000.00 S300,000. 00 $950,000.00 S105,000.00 S300,000.00 $1.500,000.00 S150,000.00 S400,000.00 Do nothing

A chemical engineer is determining the most economical alternative by comparing three alternatives, as well as the do nothing alternative, for a new chemical process. He investigates the costs and the benefits for each of the alternatives and detemines the net present worth of each alternative using a minimum attractive rate of return of 10%. All of the altenatives will have a life span of 20 years. The three potential altermatives being analyzed are listed in the table and figures are the cash flow diagrams for the potential chemical processes. Chemical Engincering Process Alternatives Uniform Not Torminal Value at the Alternative Tolal Investment Annual Benefit End of 20 Years Chemical process I Chemical process 2 Chemical proess 3 $500,000.00 551,000.00 S300,000. 00 $950,000.00 S105,000.00 S300,000.00 $1.500,000.00 S150,000.00 S400,000.00 Do nothing

Introduction to Chemical Engineering Thermodynamics
Introduction to Chemical Engineering Thermodynamics
8th Edition
ISBN:9781259696527
Author:J.M. Smith Termodinamica en ingenieria quimica, Hendrick C Van Ness, Michael Abbott, Mark Swihart
Publisher:J.M. Smith Termodinamica en ingenieria quimica, Hendrick C Van Ness, Michael Abbott, Mark Swihart
Chapter1: Introduction
Section: Chapter Questions
Problem 1.1P
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A chemical engineer is determining the most economical alternative by comparing three alternatives, as well as the do nothing alternative, for a new chemical process. He investigates the costs and the benefits for each of the alternatives and determines the net present worth of each alternative using a minimum attractive rate of return of 10%. All of the altematives will have a life span of 20 years. The three potential alternatives being analyzed are listed in the table and figures are the cash flow diagrams for the potential chemical processes. Chemical Engincering Process Alternatives Uniform Not Torminal Valuo at the Alternative Total Investment Annual Benefit End of 20 Years $500,000.00 Chemical process I Chemical process 2 Chemical process 3 Do nothing 551,000.00 S300,000.00 $950,000.00 $105,000.00 $300,000.00 $1,500,000.00 S150,000.00 $400,000.00
Transcribed Image Text:A chemical engineer is determining the most economical alternative by comparing three alternatives, as well as the do nothing alternative, for a new chemical process. He investigates the costs and the benefits for each of the alternatives and determines the net present worth of each alternative using a minimum attractive rate of return of 10%. All of the altematives will have a life span of 20 years. The three potential alternatives being analyzed are listed in the table and figures are the cash flow diagrams for the potential chemical processes. Chemical Engincering Process Alternatives Uniform Not Torminal Valuo at the Alternative Total Investment Annual Benefit End of 20 Years $500,000.00 Chemical process I Chemical process 2 Chemical process 3 Do nothing 551,000.00 S300,000.00 $950,000.00 $105,000.00 $300,000.00 $1,500,000.00 S150,000.00 $400,000.00
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