An effective method to recover water used for regeneration of ion exchange resins is to use a reverse osmosis system in a batch treatment mode. Such a system involves recirculation of the partially treated water back into the feed tank, causing the water to heat up. The water can be cooled using one of two systems: a single-pass heat exchanger or a closed-loop heat exchange system. The single-pass system, good for 3 years, requires a small chiller costing $920 plus stainless-steel tubing, connectors, valves, etc. costing $360. The cost of water, treatment charges, electricity, etc. will be $3.10 per hour. The closed-loop system will cost $3850 to buy, will have a useful life of 5 years, and will cost $1.28 per hour to operate. What is the minimum number of hours per year that the cooling system must be used in order to justify purchase of the closed-loop system? The MARR is 10% per year, and the salvage values are negligible. 353 hours per year 309 hours per year 391 hours per year 447 hours per year 275 hours per year

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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An effective method to recover water used for regeneration of ion exchange resins is to use a reverse osmosis system in a batch treatment mode. Such a system
Involves recirculation of the partially treated water back into the feed tank, causing the water to heat up. The water can be cooled using one of two systems: a
single-pass heat exchanger or a closed-loop heat exchange system. The single-pass system, good for 3 years, requires a small chiller costing $920 plus
stainless-steel tubing, connectors, valves, etc. costing $360. The cost of water, treatment charges, electricity, etc. will be $3.10 per hour. The closed-loop system
will cost $3850 to buy, will have a useful life of 5 years, and will cost $1.28 per hour to operate. What is the minimum number of hours per year that the cooling
system must be used in order to justify purchase of the closed-loop system? The MARR is 10% per year, and the salvage values are negligible.
353 hours per year
309 hours per year
391 hours per year
447 hours per year
275 hours per year
Transcribed Image Text:An effective method to recover water used for regeneration of ion exchange resins is to use a reverse osmosis system in a batch treatment mode. Such a system Involves recirculation of the partially treated water back into the feed tank, causing the water to heat up. The water can be cooled using one of two systems: a single-pass heat exchanger or a closed-loop heat exchange system. The single-pass system, good for 3 years, requires a small chiller costing $920 plus stainless-steel tubing, connectors, valves, etc. costing $360. The cost of water, treatment charges, electricity, etc. will be $3.10 per hour. The closed-loop system will cost $3850 to buy, will have a useful life of 5 years, and will cost $1.28 per hour to operate. What is the minimum number of hours per year that the cooling system must be used in order to justify purchase of the closed-loop system? The MARR is 10% per year, and the salvage values are negligible. 353 hours per year 309 hours per year 391 hours per year 447 hours per year 275 hours per year
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