The International Parcel Service has installed a new radio frequency identification system to help reduce the number of packages that are incorrectly delivered. The capital investment in the system is $65,000, and the projected annual savings are tabled below. The system’s market value at the EOY five is negligible, and the MARR is 18% per year. Calculate the present worth of the project. a. $ 35,730 b. $ 36,730 c. $ 37,730 d. None of the choices
The International Parcel Service has installed a new radio frequency identification system to help reduce the number of packages that are incorrectly delivered. The capital investment in the system is $65,000, and the projected annual savings are tabled below. The system’s market value at the EOY five is negligible, and the MARR is 18% per year. Calculate the present worth of the project. a. $ 35,730 b. $ 36,730 c. $ 37,730 d. None of the choices
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Engineering economy - ENGR 3322
The International Parcel Service has installed a new radio frequency identification system to help reduce the number of packages that are incorrectly delivered. The capital investment in the system is $65,000, and the projected annual savings are tabled below. The system’s market value at the EOY five is negligible, and the MARR is 18% per year. Calculate the present worth of the project.
a. $ 35,730
b. $ 36,730
c. $ 37,730
d. None of the choices
![End of Year Savings
1
$25,000
2
30,000
30,000
40,000
46,000
3
4](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F355e78a4-d416-444a-8407-7f60a50c5367%2Fe476dc97-0626-4941-bad4-702eaacd275d%2Fhf87tcm_processed.png&w=3840&q=75)
Transcribed Image Text:End of Year Savings
1
$25,000
2
30,000
30,000
40,000
46,000
3
4
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