Honing Hone # of Jacks # of Times Speed Polished Refurbishing Is Possible Rate (rpm) (jacks/hr) Until the Brush Needs Refurbishing 180 240 300 7 12 4 10 8 2 12 6. 1

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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A company uses a variable speed honing machine to increase the smoothness of the inside walls of hydraulic jacks. The hone uses acid-dipped “brushes” to perform this operation. Increasing the speed of the machine results in faster operation, but reduces brush life. A single “brush” costs $90.00 and can be refurbished several times before its useful life is over. The number of refurbishings depends on the honing speed. Each refurbishing costs $30.00. Assume a refurbished brush can smooth the same amount as a new brush, and that when purchased a new brush is ready to use. The operating cost for the hone and operator is $70.00/hr. Below are the data for operating the hone at 3 different speeds. The time required for changing brushes is incorporated into the honing rates below. Which honing speed is the most economical? Hint: find the cost per jack, not per hone or per cycle!

Honing Hone
# of Jacks
# of Times
Speed
Polished
Refurbishing
Is Possible
Rate
(rpm)
(jacks/hr)
Until the
Brush Needs
Refurbishing
180
240
300
7
12
4
10
8
2
12
6.
1
Transcribed Image Text:Honing Hone # of Jacks # of Times Speed Polished Refurbishing Is Possible Rate (rpm) (jacks/hr) Until the Brush Needs Refurbishing 180 240 300 7 12 4 10 8 2 12 6. 1
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