A large textile company is trying to decide which sludge dewatering process it should use ahead of its sludge drying operation. The costs associated with centrifuge and belt press systems are shown Compare them on the basis of their annual worths using an interest rate of 10% per year System First cost, $ -300,000 -180,000 -20.000 AOC Syear -78.000 Overhaul in year 2.5 -26.000 Salvage value $ 40,000 0.000 Life years H The annual worth of the centrifuge system is $- and the annual worth of the belt press system is $- The system selected on the basis of the annual worth analysis is the caca to sect) system

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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A large textile company is trying to decide which sludge dewatering process it should use ahead of its sludge drying operation. The
costs associated with centrifuge and belt press systems are shown. Compare them on the basis of their annual worths using an
interest rate of 10% per year
System
First cost, $
Centrifuge
-300,000
Belt Press
-180,000
AOC Syear
-28,000
-20,000
Overhaul in year 2. $
-26,000
Salvage value, $
0.000
40,000
G
Life years
M
The annual worth of the centrifuge system is $-1
and the annual worth of the belt press system is $-
The system selected on the basis of the annual worth analysis is the [(Cack to select)
system.
Transcribed Image Text:A large textile company is trying to decide which sludge dewatering process it should use ahead of its sludge drying operation. The costs associated with centrifuge and belt press systems are shown. Compare them on the basis of their annual worths using an interest rate of 10% per year System First cost, $ Centrifuge -300,000 Belt Press -180,000 AOC Syear -28,000 -20,000 Overhaul in year 2. $ -26,000 Salvage value, $ 0.000 40,000 G Life years M The annual worth of the centrifuge system is $-1 and the annual worth of the belt press system is $- The system selected on the basis of the annual worth analysis is the [(Cack to select) system.
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