(See examples 2.8 & 2.9) Determine cost/hr for a D9N Caterpillar dozer with the following assumptions: • Engine - 370 hp Overall cost of Money- 6% (i) Useful life -5 years (n) Hours used per year - 2200 Initial Cost - $400,000 (P) Cost of tires - $42,000 (for this formula you need to subtract the cost of the tiror fro the initial cost)
(See examples 2.8 & 2.9) Determine cost/hr for a D9N Caterpillar dozer with the following assumptions: • Engine - 370 hp Overall cost of Money- 6% (i) Useful life -5 years (n) Hours used per year - 2200 Initial Cost - $400,000 (P) Cost of tires - $42,000 (for this formula you need to subtract the cost of the tiror fro the initial cost)
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
Related questions
Question
![Chapter 2 EQUIPMENT COSTS
(See examples 2.8 & 2.9)
Determine cost/hr for a D9N Caterpillar dozer with the following assumptions:
Engine - 370 hp
Overall cost of Money - 6% (i)
Useful life - 5 years (n)
Hours used per year - 2200
Initial Cost - $400,000 (P)
Cost of tires - $42,000 (for this formula you need to subtract the cost of the tires from
the initial cost)
Estimated Salvage Value - $40,000 (F) or [(S) for AAI formula]
NOTE: Use both the USCF and the All methods to determine the answer. Find the delta
(difference) between the answers and use the average of the two
ANSWER:
$/hr
STEP 1
[i (1+i)n
= P
[(1+i)n–1.
Formulas (USCF) Ap
А
[(1+i)n–1
Ap-Af
2200 hr/yr
$/HR
P(n+1)+S(n-1)
Formulas (AAI) AAl, =
2n
AAl, = $
YR](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2fd2d543-31f1-4e74-add3-5ef381a047cc%2F3d98d8d9-24e1-4d03-9827-98d6f40e0527%2Fmv8m27h_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Chapter 2 EQUIPMENT COSTS
(See examples 2.8 & 2.9)
Determine cost/hr for a D9N Caterpillar dozer with the following assumptions:
Engine - 370 hp
Overall cost of Money - 6% (i)
Useful life - 5 years (n)
Hours used per year - 2200
Initial Cost - $400,000 (P)
Cost of tires - $42,000 (for this formula you need to subtract the cost of the tires from
the initial cost)
Estimated Salvage Value - $40,000 (F) or [(S) for AAI formula]
NOTE: Use both the USCF and the All methods to determine the answer. Find the delta
(difference) between the answers and use the average of the two
ANSWER:
$/hr
STEP 1
[i (1+i)n
= P
[(1+i)n–1.
Formulas (USCF) Ap
А
[(1+i)n–1
Ap-Af
2200 hr/yr
$/HR
P(n+1)+S(n-1)
Formulas (AAI) AAl, =
2n
AAl, = $
YR
Transcribed Image Text:Class
Pre
AAlp x (i)
AAI =
= $
2200
/HR <1>
STEP 2
AAIF = P-F = $
/ Year
AAl fx(i)
= $
AAI =
/HR <2>
2200
AAl, + AAIF = $
/HR
= AAl cost/HR
USCF cost/hr =
$.
/hr
AAI cost/hr =
$4
/hr
/hr
Difference USCF-AAI = $
/hr
Difference /2 = $
Use lower $/hr plus add difference to get average.
/hr
FINAL NUMBER - $
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