B) Calculate the AEC (Average Equivalent Cost) of the hospital building using the cost requirements given in Table 3 > Table 3. Construction Cost OMR 1 million OMR 150,000 Annual Running Cost Repainting Costs @every 2 Years Repair Costs @ every 2 years OMR 30,000 OMR 25,000 Major replacement cost @ 5 years OMR 75,000 (Including the service costs) The demolition cost is estimated at OMR 200,000 (excluding the Salvaged material valued at OMR 60,000) at the end of 15th year. The interest rate (r) is 5% and the Annual Sinking Fund (ASF) is 1.5%. Note: The PV and SF tables is provided as attachment to this question paper.

B) Calculate the AEC (Average Equivalent Cost) of the hospital building using the cost requirements given in Table 3 > Table 3. Construction Cost OMR 1 million OMR 150,000 Annual Running Cost Repainting Costs @every 2 Years Repair Costs @ every 2 years OMR 30,000 OMR 25,000 Major replacement cost @ 5 years OMR 75,000 (Including the service costs) The demolition cost is estimated at OMR 200,000 (excluding the Salvaged material valued at OMR 60,000) at the end of 15th year. The interest rate (r) is 5% and the Annual Sinking Fund (ASF) is 1.5%. Note: The PV and SF tables is provided as attachment to this question paper.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Give typing answer with explanation and conclusion
4
5
A certain masonry dam requires 200,000 cu m of gravel for its construction. The contractor found two possible sources of gravel with the following data: Average distance gravel pit to dam site Gravel cost /cu.m at pit Purchase price of pit Road construction necessary Overbuden to be removed at P4.20 cu.m Hauling cost per cu.m per km Which of the two sites will give lesser cost? Source A 3.0 km P800,000.00 P350,000.00 P5.00 Source B 1.2 km P10.00 80,000 cu.m P5.00
The annual fixed costs for a given factory are $150,000, the variable cost is $30 per unit and the selling price is $50 per unit. If the production capacity for this factory is 10,000 units per year, how many units should be made to have an annual profit of $25,000? * 7,500 10,000 8,750 7,850 5,700 None
PW values of a project were calculated for several values of (i). The results were plotted as shown in the figure. a. What are the values of ROR (i*) for this project? Put 100 integer number followed immediately by% 75 1- 50 25 2- 10 20 30 40 50 b. If this project is a public sector project (i.e. its ROR is low). What value should we choose as the ROR for the 50 project? Put integer number followed immediately 75 by% 100 (O00TS x) Md
Use the knowledge of Break-Even analysis illustrate shortcomings of break-even analysis, also illustrate the methods to overcome project risk and uncertainty.
help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working
please answer in text form and in proper format answer with must explanation , calculation for each part and steps clearly
Pls answer it manually and show a complete solution
Consider the following costs of an airplane of the Tedu Airlines company. Item Cost Initial cost $12,000,000 Service life 15 years Salvage value $2,000,000 Crew costs per year $225,000 Fuel cost per mile S1.10 Landing fee $250 Maintenance per year $237,500 Insurance cost per year $166,000 Catering per passenger trip $75 The company flies three round trips from Ankara to Amsterdam per week, a distance of 2,100 miles one way. How many round-trip passengers must be carried on average in order to justify the use of the airplane if the first-class round-trip fare is $4,500? The firm's MARR is 12%. Hint: Find annual equivalent cost.
Solution sent me only typing . I upvote thum .