Today a proposed community college is estimated to cost $34.6 million, which is $127 per square foot of space multiplied by 272,310 square feet. If construction costs are expected to increase by 19% per year because of high demand for construction labor and materials, how much would a 320,000-square-foot community college cost five years from now? The cost capacity factor is 1.0. (3.3) A small plant has been constructed and the costs are known. A new plant is to be estimated with the use of the exponential (power sizing) costing model. Major equipment, costs, and factors are as shown in Table P3-26. (Note MW = 106 Watts.) If ancillary equipment will cost an additional $200,000, find the cost for the proposed plant. (3.4)
Today a proposed community college is estimated to cost $34.6 million, which is $127 per square foot of space multiplied by 272,310 square feet. If construction costs are expected to increase by 19% per year because of high demand for construction labor and materials, how much would a 320,000-square-foot community college cost five years from now? The cost capacity factor is 1.0. (3.3) A small plant has been constructed and the costs are known. A new plant is to be estimated with the use of the exponential (power sizing) costing model. Major equipment, costs, and factors are as shown in Table P3-26. (Note MW = 106 Watts.) If ancillary equipment will cost an additional $200,000, find the cost for the proposed plant. (3.4)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Today a proposed community college is estimated
to cost $34.6 million, which is $127 per square foot of
space multiplied by 272,310 square feet. If construction
costs are expected to increase by 19% per year because of
high demand for construction labor and materials, how
much would a 320,000-square-foot community college
cost five years from now? The cost capacity factor
is 1.0. (3.3)
A small plant has been constructed and the costs
are known. A new plant is to be estimated with the
use of the exponential (power sizing) costing model.
Major equipment, costs, and factors are as shown in
Table P3-26. (Note MW = 106 Watts.)
If ancillary equipment will cost an additional
$200,000, find the cost for the proposed plant. (3.4)
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