S15,000 years 6 through 9 $200,000 at year 5 $260,000 12 $20,000 years $270,000 at ye $200,000 10
S15,000 years 6 through 9 $200,000 at year 5 $260,000 12 $20,000 years $270,000 at ye $200,000 10
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
Related questions
Question
A civil engineer is asked to select a new scraper for his construction form. he collects data from two equipment manufacturers and the data are shown in the table below

Transcribed Image Text:Cost or Disbursements
Scraper 1
Scraper 2
$1,600,000
S120 per hour
$1,200,000
S150 per hour
2,000 hours
$20,000 years 6 through 9
$270,000 at year 5
S200,000
10
Initial cost
Cost to operate per hour
Number of hours used per year 2,000 hours
Repairs
Major overhaul
Salvage value
Life in years
$15,000 years 6 through 9
$200,000 at year 5
$260,000
12
a) Draw the cash flow diagrams for each of the scarper.
b) Determine which scraper he should recommend based on equivalent uniform
annual worth analysis using an interest rate of 8%.
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