A steel company is trying to decide between two industrial type cranes. Crane A and Crane B are mutually exclusive, and the economics estimates for each are shown Crane A $15,000 $7,000 $4,000 5 Capital investment Annual expenses Salvage value Life, in years 6 F C 3 Crane B $35.000 $5,000 0 20 If the MARR is 15% 1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is 2-The present worth of Crane B over 20 years is 5 # 3-The present worth of Crane A over 20 years is 5 4-The recommended alternative is & Moving to another question will save this response. 65,295.83 -39,765.3 -38,465.4 -14,085.8 Crane A 105,16.02 -53,104.2 -66,296.5 Crane B 28,0678 -114,336.1 -55,101.5 BLAGET

A steel company is trying to decide between two industrial type cranes. Crane A and Crane B are mutually exclusive, and the economics estimates for each are shown Crane A $15,000 $7,000 $4,000 5 Capital investment Annual expenses Salvage value Life, in years 6 F C 3 Crane B $35.000 $5,000 0 20 If the MARR is 15% 1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is 2-The present worth of Crane B over 20 years is 5 # 3-The present worth of Crane A over 20 years is 5 4-The recommended alternative is & Moving to another question will save this response. 65,295.83 -39,765.3 -38,465.4 -14,085.8 Crane A 105,16.02 -53,104.2 -66,296.5 Crane B 28,0678 -114,336.1 -55,101.5 BLAGET

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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