The purchase price of a natural gas-fired commercial boiler (capacity X) was $180,000 eight years ago. Another boiler of the same basic design, except with capacity 1.38X, is currently being considered for purchase. If it is purchased, some optional features presently costing $26,000 would be added for your application. If the cost index was 165 for this type of equipment when the capacity X boiler was purchased and is 224 now, and the applicable cost capacity factor is 0.8, what is your estimate of the purchase price for the new boiler? The purchase price for the new boiler is S (Round to the nearest dollar.)

The purchase price of a natural gas-fired commercial boiler (capacity X) was $180,000 eight years ago. Another boiler of the same basic design, except with capacity 1.38X, is currently being considered for purchase. If it is purchased, some optional features presently costing $26,000 would be added for your application. If the cost index was 165 for this type of equipment when the capacity X boiler was purchased and is 224 now, and the applicable cost capacity factor is 0.8, what is your estimate of the purchase price for the new boiler? The purchase price for the new boiler is S (Round to the nearest dollar.)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

The purchase price of a natural gas-fired commercial boiler (capacity X) was $177,000 eight years ago. Another boiler of the same basic design, except with capacity 1.42 X is currently being considered for purchase. If it is purchased, some optional features presently costing $28,000 would be added for your application. If the cost index was 169 for this type of equipment when the capacity X boiler was purchased and is 220 now, and the applicable cost capacity factor is 0.8, what is your estimate of the purchase price for the new boiler?
Required information The delivered-equipment cost for a fully equipped CNC machining system is $4.8 million. The direct cost factor is 1.52 and the indirect cost factor is 0.43. Estimate the total plant cost if the indirect cost factor applies to the total direct cost. (Enter your answer in dollars and not in millions of dollars.) The total plant cost is $
ABC company is planning to double their production capacity in 2023. The construction cost of a similar plan in 2000 was $1.7 mil. The company has concluded that there is a significant Economy of scale opportunity with an exponent of 0.35. The construction cost index was 125 in the year 2000 and it is 250 in 2023. What is your best estimate of the cost of this expansion?
A chemical engineer at Western Refining estimated the total cost for a diesel fuel desulfurization system at $2.3 million. If the direct cost factor is 1.55 and the indirect cost factor is 0.43, what is the total equipment cost? Both factors apply to delivered equipment cost.
How many umbrellas would be required to sell to earn an operating profit of P1, 000, 000 if the XYZ Company sells this product with the following information: 11,250 units 20,000 units 15,000 units 45,000 units
Determine the minimum-cost trade-off between the MTBF and the MTTR for a system requiring 0.98 availability. The MTTR must be between 10 and 28 hr, and the MTBF must be at least 1200 hr. Consider the cost functions as: a. C(x) = 0.0002x2 ; C(y) = 12500/y b. C(x) = 2x; C(y) = 2000-y 2.
An engineer who owns a construction company that specializes in large commercial projects noticed that material costs increased at a rate of 1% per month over the past 12 months. If a material cost index were created for that year with the value of the index set at 100 at the beginning of the year, what is the value of the index at the end of the year? Express your answer to two decimal places.
Ab6