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The answer is should be one the the follwing options
a)700
b)300
c)500
d)350
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- Problem 05.023 Alternative Comparison - Different Lives Compare the alternatives C and D on the basis of a present worth analysis using an interest rate of 10% per year and a study period of 10 years. Alternative First Cost AOC, per Year Annual Increase in Operating Cost, per Year Salvage Value Life, Years The present worth of alternative C is $ с $-40,000 $-5,000 $-1,000 $15,000 10 D $-30,000 $-7,000 $-1,100 $1,000 5 and that of alternative D is $ Alternative C offers the lower present worth.The demand values for the following 4 weeks for a company is as follows: 300, 200, 400, 430. The weekly regular time production capacity is 260 units. At each week up to 150 more units can be produced in over time with an additional cost of $40 over the regular time production costs. 15% of the produced units become scrap due to quality problems. There is an inventory cost of $12 per unit per quarter. 150 units are available at the beginning of week1 and the company wants to have at least 200 units at the end of week4. Formulate a linear programming model that can be used to minimize the total cost of meeting the next four weeks' demand.In computing the B/C ratio, is the annual revenue counted as benefits? Please compute the B/C ratio of MEA 5 and show your solution (not in excel). and explain MARR=12%
- Pace Automation Corporation in Cookeville, Tennessee must choose the better cconomical alternative between the two listed below. If 1,000 units are required per year, which alternative is cconomically attractive? Assume that the life of the automated equipment is 5 years. O a Alternative A Skilled Operator at $25 per hour, 35 minutes per unit of skilled labor time is required. Unskilled operator at $12 per hour plus automated equipment costing $50,000; 10 minutes of operator time per unit is required. Ob. Alternative B QUESTION 9 The present worth of an amount of money "Y" that will be received 10 yea from now is $10,000. At an interest rate of 8% per year, the value of "Y" ten years from now is equal to: Oa $19,525 OD $16.756 OC$18,000 Od $21,589An electric utility company is considering a re-engineering of a major hydroelectric facility. The project would yield greater capacity and lower cost per kilowatt-hour of power. As a result of the project, the price of power would be reduced. This is expected to increase the quantity of power demanded. The following data are available Effect of Reduced Price of Power 0.08 10,000,000 0.07 14,000,000 Current price ($/kWh) Current consumption (kWh/year) New price ($/kWh) Expected consumption (kWh/year) What is the annual benefit to consumers of power from this project? The annual benefit is $The student chapter of the American Society of Mechanical Engineers isplanning a six-day trip to the national conference in Albany, NY. For transportation, the group will rent a car from either the State Tech Motor Pool or a local car dealer. TheMotor Pool charges $0.36 per mile, has no daily fee, and pays for the gas. The local car dealer charges $30 per day and $0.20 per mile, but the group must pay for the gas. The car’s fuel rating is 20 miles per gallon, and the price of gas is estimated to be $2.00 per gallon. Solve, a. At what point, in miles, is the cost of both optionsequal? b. The car dealer has offered a special student discount and will give the students 100 free miles per day. What is the new breakeven point? c. Suppose now that the Motor Pool reduces its all-inclusive rate to $0.34 per mile and that the car dealer increases the rate to $30 per day and $0.28 permile. In this case, the car dealer wants to encourage student business, so he offers 900 free miles for the…
- Question 1: Two mutually exclusive electricity generators are considered for purchase by XYZ company. Information relevant to compare the alternatives are summarized below. Which one should be selected for purchase using IRR method? The MARR is 10% per year. Generator A Generator B 100,000 Capital Investment (OMR) Market value at the 80,000 35,000 10,000 end of useful life (OMR) Annual fuel and 3,000 5,000 maintenance expenses (OMR) Service life 10 years 10 years Hints: You should solve using IRR only. Your answers should be presented in Wing a form of a Table. Show the iteration and interpolation procedure presented inThe estimated negative cash flows for three design alternatives are shown below. The MARR is 10% per year and the study period is four years. Which alternative is best based on the IRR method? Doing nothing is not an option. Capital investment Annual expenses OA. Alternative B OB. Alternative C OC. Alternative A EOY 0 1-4 A $85,700 8,500 Alternative B $64,500 Which alternative would you choose as a base one? Choose the correct answer below. 15,150 C $71,900 12,450If specific duty is $2 per dozen and ad valorem duty is 20%, find the total duty on 12 dozen padlocks valued at $650.
- A construction company is evaluating the purchase of a new concrete mixer with hydraulic hopper and automatic controller. The mixer will have a first cost of BD 12,000, a life of 9 years, and no salvage value. It will require 2 operators at a cost of BD 4.500 per hour each. A total of one cubic meter of concrete can be poured each hour by the mixer. Alternatively, if human labor is used, 5 workers, each earning BD 4 per hour, are required to one cubic meter per hour. The estimated cost of the material is BD 21 per cubic meter and the MARR is 7% per year (clearly show the S.N., numeric answer, and final decision). a) Determine the minimum cubic meters per year to justify the purchase of the automatic mixer. b) The company expects to produce 140 cubic meters per year, which option should they select? Why?Could you please tell me answer to this question, a circled or highlighted answer would be appreciated, thank you.which projects should be considered as the base alternative and the first-choice alternative.
