QUESTION 7for th below two machines and based on AW analysis which machine we should select? MARR-10%.Machine AMachine BFirst cost, $100,000Annual cost, S/year7,000Salvage value, $Life, years3infiniteAnswer the below question:A-the AW for machine AQUESTION 8For th below two machines and based on AW analysis which machine we should select? MARR-10%Machine AMachine BFirst cost, $135,982Annual cost, Siyear8,74012.308Salvage value, $Life, years3infiniteAnswer the below question:B- the AW for machine BQUESTION 9C-Based on the AW value you got in the previous 2 questions, which machine we should select? type you explanation belowFor the toolbar, press ALT+F10 (PC) or ALT-FN-F10 (Mac)B IUS Paragraph M ArialY10pt田饼印园BE <> 0)20,0009,0004,00023,7204.805-!!!4

Disclaimer- “Since you have asked multiple questions, we will solve the first question for you as…

QUESTION 7 for th below two machines and based on AW analysis which machine we should select? MARR-10%. Machine A Machine B First cost, $ 100,000 Annual cost, S/year 7,000 Salvage value, $ Life, years 3 Answer the below question: A-the AW for machine A QUESTION 8 20,000 9,000 4,000- infinite

QUESTION 7 for th below two machines and based on AW analysis which machine we should select? MARR-10%. Machine A Machine B First cost, $ 100,000 Annual cost, S/year 7,000 Salvage value, $ Life, years 3 Answer the below question: A-the AW for machine A QUESTION 8 20,000 9,000 4,000- infinite

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Don't treat uniform or gradient payments as single payment and answer whatever you can please

A: First, we need to calculate the present worth of Machine A. The present worth is the sum of the…

Q: With the given information please calculate NPV, NPW, EUAW, and IRR for each alternative. The…

A: Three alternatives are given: Alternatives 1 2 3 Initial Cost (P/A) $4,150,000 $4,698,438…

Q: QUESTION 7 for th below two machines and based on cC analysis which machine we should select?…

A: A capitalized cost is a cost incurred as a result of the purchase of a fixed asset that is expected…

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: A start up business is considering two types of equipment - data are as follows: TYPE A TYPE B First…

A: Given that; Type A Type B Initial cost= P200,000 Initial cost= P300,000 Annual Operating…

Q: RAW THE CASH FLOW DIAGRAM Company A is considering two alternatives. Machine A has a first cost of…

A: To evaluate between both the options, we need to compute present worth of each option discounted @…

Q: Dexcon Technologies, Ic., is evaluating two alternatives to produce its new plastic filament with…

A: * SOLUTION :- (7) Given that ,

Q: Given the two machines' data Machine A Machine B First Cost Salvage value P8.000.00 P14,000.00…

A: For finding out the Equivalent annual cost we take following steps : => First we formulate cash…

Q: Compare two alternatives, A and B, on the basis of a present worth evaluation using / = 8% per year…

A: The present worth of an annuity is the current value of future payments from an annuity, given a…

Q: 1) Consider the follows Projects: If MARR- 17%. Recommend the best choice based upon ROR analysis: с…

A: To perform incremental rate of return analysis the condition of equal service life requirement must…

Q: Question 7 for th below two machines and based on CC analysis which machine we should select?…

A: A minimum acceptable rate of return (MARR) is the minimum profit expected by an investor from an…

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: Required information The Briggs and Stratton Commercial Division designs and manufacturers small…

A: The annual worth is the net of the relative multitude of advantages and costs caused by more than a…

Q: A farmer in China is considering three alternative machines. Machine A will cost K18,000. Machine B…

A: Net Present Value (NPV) is a financial metric used to evaluate the profitability of an investment or…

Q: Q2) A company invests in one of three alternatives which has the cash flow as represent in the table…

A: Details Investment Amount Revenue Cost Purchasing cost Salvage Value Life Project 1 2200000 400000…

Q: (b) Use the easiest technique to determine which one of the following alternatives should be…

Q: 5. A firm has available three investment proposals A, B, and C having cash flow profiles below. The…

A: Given cash flowAW=Present value*(A/P,i,n)

Q: A Cost $4000 $2000 $6000 $1000 S9000 Annual benefit 639 410 761 117 750 Useful life, in years 20 20…

A: MARR=6%

Q: Required information The Briggs and Stratton Commercial Division designs and manufacturers small…

A: To find the salvage value of push system making both the alternatives equally economical we find the…

Q: Problem 2: Select one of the following two plans using the present worth method. Given i= 20% per…

A: Given,In the case of Plan 1,In the case of Plan 2,

Q: Determine feasibility of the project using FW Method. Use MARR = 10%. %3D Alternatives А В C Capital…

A: A B C D Initial Cost 150000 85000 75000 12000 Annual Revenue 28000 16000 15000 22000 Annual…

Q: What is the best alternative using incremental Analysis? Use MARR = 15% A B C Capital Investment $…

A: Incremental Analysis Approach Assuming MARR=15% Formula= (Annual benefit-Cost)*PVAF+Salvage…

Q: QUESTION 4 For the below ME alternatives, which machine should be selected based on the PW analysis.…

A: Salvage value is the book value of an asset after all depreciation has been fully expensed. The…

Q: Q#1. Complete the analysis based on IRR and ERR methods separately to identify if the given project…

A: Answer in Step 2

Q: 3. PEMEX, Mexico's petroleum corporation, has an estimated budget for oil and gas exploration that…

A: Present Worth (PW) is the sum of money or the value of a certain asset in the future whose value has…

Q: Time left 1:24:36 FW analysis comparison of altematives is different from PW analysis. For example:…

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: Consider two air-conditioning systems with the cash flow estimates as given below. Use AW analysis…

A: Annual worth is the net of all the costs and benefits an investment or asset faces over a year. The…

Q: None

A: Approach to solving the question:To calculate the present worth (PW) for each machine properly, we…

Q: You have two machines under consideration for an improved automated wrapping process for Snickers…

A: The annual worth refers to the annual cash flow equivalent to all expected cash inflows and outflows…

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…

Q: In comparing alternatives I and J by the present worth method, the equation that yields the present…

A: The correct answer is given in the second step.

Q: ial cost, $ nual income, $ per year -150,000 -250,000 20,000 40,000 nual expenses, $ per year 24…

A: For alternative ‘J’ Given, Initial cost = -250,000 Annual income = 40,000, Annual expense = -14,000…

Q: Q2) A company invests in one of three altematives which has the cash flow as represent in the table…

A: Details Investment Amount Revenue Cost Purchasing cost Salvage Value Life Project 1 2200000 400000…

Q: for th below two machines and based on CC analysis which machine we should select? MARR=10% Machine…

A: There are two alternatives, Machine A and Machine B. Machine A has a 3-year service life and Machine…

Q: for th below two machines and based on CC analysis which machine we should select? MARR=109%.…

A: Salvage value is the estimated book value of an asset after depreciation is complete, based on what…

Q: QUESTION 3 For the below ME alternatives, which machine should be selected based on the AW analys…

A: *Answer: *3 Machine A Annual worth = 15,828(A/P,10,3) + 8,753 – 4000(A/F,10,3) Using DCIF Tables…

Q: 2. Three mutually exclusive design alternatives are being considered. The estimated sales and cost…

A: GIVEN Three mutually exclusive design alternatives are being considered. The estimated sales and…

Q: Required information Assume you started a sideline business in commercial photography last year…

A: The payback period is the amount of time it takes to recover the cost of investment or the length of…

Q: What is the excel equation to calculate the values in the selected row exactly as they are?

A: Present Value (PV) is the current value of a future sum of money or stream of cash flow given a…

Q: Complete the following analysis of cost alternatives and select the preferred alternative. The s A B…

A: Answers FW of C = - 13000 * (F/P, 12%,10) - 500 * (F/A, 12%,10) + 1750 = - 13000 * 3.105848 - 500…

Question

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Please no written by hand and no emage
QUESTION 7 for th below two machines and based on AW analysis which machine we should select? MARR=10%. Machine A First cost, $ Annual cost, $/year Salvage value, $ Life, years 3 Answer the below question: A- the AW for machine A= 25,433 12,199 7,603 Machine B 100,000 7,000 infinite
Manshukh Don't upload image please
A sportswear factory has two alternative machines for producing jerseys. Costs are shown below. Minimum acceptable rate of return is 8%.What is the annual cost for machine Y?
You have been asked to perform a sensitivity analysis on a plant modernization plan. The initial investment is $30,000. Expected annual savings is $13,000. Salvage value is $7,000 after a 7 year planning horizon. The MARR is 12%. Determine the AW if the annual savings change by the following percentages from the initial estimate: b. -80%c. -60%d. -40%e. -20%f. +20%g. +40%h. Determine the percentage change in net annual savings that causes a reversal in the decision regarding the attractiveness of the project
Without using excel
kuzukuzu12121@outlook.com just sent here I NEED EXCEL FİLE. Determine the NPW, AW, FW and IRR of the following engineering project. Initial Cost ($400,000) The Study Period 15 years Salvage (Market) Value of the project 15% of the initial cost Operating Costs in the first year($9,000) Cost Increase 3% per year Benefits in the first year $40,000 Benefit Increase 9% per year MARR 8% per year Is the Project acceptable? WHY?
Please do not give solution in image format thanku Two incinerators are being considered by a waste management company. Design A has an initial cost of $2,500,000,has annual operating and maintenance costs of $800,000, and requires overhauls every 5 years at a cost of $1,250,000.Design B is more sophisticated, including computer controls; it has an initial cost of $5,750,000, has annual operatingand maintenance costs of $600,000, and requires overhauls every 10 years at a cost of $3,000,000. Using a 5 percent/year interest rate, determine the capitalized cost for each design and recommend which should be chosen
please dont provide answer in image format thank you
QUESTION 8 For th below two machines and based on AW analysis which machine we should select? MARR=10% Machine A Machine B First cost, $ Annual cost, $/year Salvage value, $ Life, years 3 Answer the below question: B-the AW for machine B= 26,612 12,417 4,135 infinite 140,454 7,170