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Advanced Technologies, Inc. is evaluating two alternatives to produce its new plastic filament with tribological (low friction) properties for creating custom bearing for 3-D printers. The estimates associated with its alternatives are shown below. Use LCM way and a MARR of 20% per year. Method DDM LS First Cost $ -165,000 -375,000 M&O cost, $/year -50,000 -25,000 Salvage value $ 30,000 Life, years 4 2.

Advanced Technologies, Inc. is evaluating two alternatives to produce its new plastic filament with tribological (low friction) properties for creating custom bearing for 3-D printers. The estimates associated with its alternatives are shown below. Use LCM way and a MARR of 20% per year. Method DDM LS First Cost $ -165,000 -375,000 M&O cost, $/year -50,000 -25,000 Salvage value $ 30,000 Life, years 4 2.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Advanced Technologies, Inc. is evaluating two alternatives to produce its new plastic filament with tribological (low friction) properties for creating custom bearing for 3-D printers. The estimates associated with its alternatives are shown below. Use LCM way and a MARR of 20% per year. Method DDM LS First Cost $ -165,000 -375,000 M&O cost, Slyear -50,000 -25,000 Salvage value $ 30,000 Life, years 4 A) Using LCM, the future worth of DDM is $ Include a negative sign if necessary. (1 point) ANSWER: $ B) Using LCM, the future worth of LS is $_ Include a negative sign if necessary. (1 point) ANSWER: $. C) Based on Future Worth analysis, which Method should be selected? (1 point) Select Method_ (DDM, LS) because it (is less costly, has higher revenue) ANSWER:
Transcribed Image Text:Advanced Technologies, Inc. is evaluating two alternatives to produce its new plastic filament with tribological (low friction) properties for creating custom bearing for 3-D printers. The estimates associated with its alternatives are shown below. Use LCM way and a MARR of 20% per year. Method DDM LS First Cost $ -165,000 -375,000 M&O cost, Slyear -50,000 -25,000 Salvage value $ 30,000 Life, years 4 A) Using LCM, the future worth of DDM is $ Include a negative sign if necessary. (1 point) ANSWER: $ B) Using LCM, the future worth of LS is $_ Include a negative sign if necessary. (1 point) ANSWER: $. C) Based on Future Worth analysis, which Method should be selected? (1 point) Select Method_ (DDM, LS) because it (is less costly, has higher revenue) ANSWER:
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