An untreated electric wooden pole that will last 10 years under certain soil condition cost ₱20,000. If a treated pole will last for 20 years, what is the maximum justifiable amount that can be paid for the treated pole, if the maximum return on investment is 20%. Consider annual taxes and insurance amount to be 1% of first cost.

Q: ligthing first cost of investment is $120,000. annual mtnce expenses are expected to be $6600 for…

A: In this question we have to find out the capitalized cost with the help of the above information.

Q: Consider your self as a businessman, you owned 5 storey building with a total of 35-unit apartment…

A: Assuming property taxes and insurance are annual costs based on the initial investment done in land…

Q: nd the capitalized cost at 15% interest, initial cost $200000, Annual operating cost $4000

A: Below is the given values: Interest rate = 15% Initial cost = $200000 Annual operating cost = $40000…

Q: 7. A building cost P10,000,000 and the salvage value is P150,000 after 25 years The annual…

A:

Q: am. 132.

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Q: Use Present Worth Analysis to determine whether Alternative A or B should be chosen. Items are…

A: The present worth of a project or investment refers to its value at present based on the associated…

Q: dicates that the peak average salary for liberal ts majors is $58,000 per year. Assuming that ost…

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Q: 12% per year. For the cash flows shown, use an annual worth comparison and an interest rate of First…

A: The annual worth (AW) value for an alternative will be inclusive of the two components: capital…

Q: An investment of P2, 700, 000 can be made in a project that will produce a uniform annual revenue of…

A: Engineering economics, formerly engineering economy, is a branch of economics concerned with the…

Q: the maintenance costs associated with an investment are 100,000,000 for the first 10 years and…

A: To calculate the present worth of the annual disbursement, we need to consider the two different…

Q: Lipsion Ltd company is thinking about investing in one of two potential new products for sale. The…

A: Payback period shows the recovery period of initial investment.  It is calculated by using the…

Q: A finance company advertises two investment plans. In Plan A, the company pays P10,500 after 12…

A: Present worth analysis refers to that method to measure viability of an investment in which we…

Q: considering purchasing equipment that will reduce costs by $40,000. The equipment costs $300,000 and…

A: Present worth technique is one of a valuation method used in capital budgeting. It is computed by…

Q: 4 A process control manager is considering two robots to improve materlais-handling capacity in the…

A: Given that: A process control oversees considering two robots to improve materials - taking care of…

Q: (b) A project with an infinite life has the following details: Initial cost $6 million Annual…

A: A capitalized cost is an expense added to the cost basis of a fixed asset on a company's balance…

Q: Required information A company that manufactures magnetic flow meters expects to undertake a project…

A: The annual worth ascertains the annual cash flow throughout the investment period which is…

Q: A bond with a face value of $1000 can be purchased for $800. The bond matures in 5 years and the…

A: Effective interest rate on the bond will be the summation of rate of return on capital as per…

Q: ngineer analyzed four Independent alternatives by the present worth method. On the basis of her…

A: Time value of money In engineering economics, we come across many questions while taking decisions…

Q: A city is considering to buy a piece of land and constructing an office complex on it. Their…

A: Future worth refers to the compounded value of the cash flow of each project . More the value of…

Q: You are a consultant at Brinkley & co .you are responsible for evaluating projects introduced by…

A: Initial Investment = 35000 Return = 10000 (for the next10 years) Time = 10 years MARR = 12%

Q: A company is offered a new computer program that is supposed to provide savings in costs. The cost…

A: Answer to the Question :- Given :- Cost Savings per annum = 100,000 New Equipment Cost = 200,000…

Q: Time Value of Money - Buy vs Rent Decision Rebecca Young recently graduated from Masters program and…

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Q: = proposed to place a cable on an existing pole line along the shore c anect two points on opposite…

A: LAND ROUTE  First cost of cable is calculated as follows. First cost of cable = 45871*10 First cost…

Q: Use Present Worth Analysis to determine whether Alternative A or B should be chosen. Items are…

A: The amount of money that, if invested today at a certain rate of compound interest, will exactly…

Q: You have been asked to evaluate two alternatives, X and Y, that may increase plant capacity for…

A: Present worth is the current worth of a future amount of cash or stream of incomes given a…

Q: If are you and to Company decide More than 2 alternatives of is frying investment Worth while,…

A: Present value refers to the value of a certain sum of money in the future or cash flows in the…

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A: The cost of capital refers to the required rate of return or the cost of financing a company's…

Q: The Bureau of Public Highways is considering possible types of road surfacing with cost estimates…

A: We are going to use pw approach to answer this question.

Q: In engineering economics it is often used present worth analysis to determine best alternative…

A: The present value (PV) factor is used on a future date to calculate the current value of a cash…

Q: For the following cash flow series, a. Show both hand and spreadsheet solutions that calculate the…

A: When analysing investment possibilities in financial analysis, it is crucial to take uncertainties…

Q: Simplifying [(n+1)! / n!] gives what?

A: The n! can be rewrite as follows.

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Q: A new alloy can be produced by Process A, which costs $200,000 to implement. The operating cost will…

A:

Q: An NGO is considering building a school for children in a community with 200 children. Assume that…

A: Social value per child going school = 2000  Total Additional social value with construction of new…

Q: TRUE OR FALSE The future worth of a perpetuity from one (1) to ? years is undefined because as ?…

A: The future worth of a perpetuity from one (1) to ? years is undefined because as ? approaches…

Q: Engr. Collado is considering two types of machineries that will use in construction Equipment A…

A: Given MARR  = 20 % Life of the asset = 15 years To compare the assets and determine the best…

Q: Referring to the following cumulative cash flow diagram, salvage value is most nearly ERY $500000…

A: The term "cumulative cash flow" can be applied to both projects and businesses. A company's or…