Two machines X and Y below are being considered for purchase.Machine XMachine YInitial CostUniform annual benefit2001200100300Salvage valueLife, year15031606If the MARR is 5% which machine should be bought?Machine YMachine X

Given informations: Initial cost of machine X = 200 The initial cost of machine Y = 1200

Answered: Two machines X and Y below are being…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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MARR is 8.4 % 3500 4000 A500 5000 Year O 5500 6000 6500 7000 1000 1500 6000 22000 2000 5600 2500 3000 3500 5200 4800 4400 4000 8000 4000 4500 Find the present worth? 4000 5500 16 17 5200 4900 1800 4600 2000 2200 4300 4000 2400 2600 3000 4000 5000 6000 2800 3000 3200 salvage 2000 3400 3600
4. Calculate the present worth of a machine which costs $80000 initially and will have a $18000 salvage value after 11 years. The operating cost is $10000 at the end of yearl and amounts increasing by $800 each year. Use an interest rate of 9% per year.
8- The life of a project is 10 years. An equipment is needed for this project. Two alternatives are available. Equipment A has an initial cost of $5000.00, an annual maintenance cost of $300.00, and a salvage value of $800.00 after 5 years. Equipment B has an initial cost of $7000.00, an annual maintenance cost of $400.00, lasts for 10 years and has no salvage value. If the interest rate is 6%: a) Equipment A should be purchased. b) Equipment B should be purchased. c) No equipment should be purchased. d) There is no difference in choosing between A or B.
Solve using excel. Show your steps
Plz do fast asap..
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Queen 2 Full explain this question and text typing work only thanks
cost maintenance life a $3000 $100/year 5 years $250 after 5 year b %14000 $80/year 15 years $600 after 15 year salvage interest= 5% need the best option using present worth and future worth with and without salvage value.
Nees answer ASAP
FIRST COST ANNUAL COST SALVAGE VALUE ANNUAL INTEREST RATE STUDY PERIOD Power Line 20,000 1,950.90/month × 12= 23,410.8/year Solar 25,000 X 7= 125,000+10,000= 135,000 3,000/year 0 3.5% 25 ALTERNATIVE A: A solar panel costs 25,000. 7 solar panels are needed in a company. The installation fee is 10,000 and will have a useful 25 years with no salvage value. The maintenance per year is 5,000. The annual interest rate for solar panel is 1.5%. 0 1.5% 25 ALTERNATIVE B: A new power line will cost 20,000, with power costs expected to be 1,950.90 per month. The annual increase rate of electric bill is about 3.5%. Which alternative should be selected on the basis of a future worth analysis? Illustrate the cash flow diagram. USE MS EXCEL IN COMPUTATION and SHOW THE SOLUTION PROPERLY.
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1. The following alternatives will be compared based on an 8% interest rate. A 5,000 500 600 5 Machine First cost Annual Maintenance Salvage Value Useful Life B 10,000 200 1,000 12 What is the Equivalent Uniform Annual Cost (EUAC) of machine A? A. 1550 B. 1650 C. 1274 D. 1817

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Two machines X and Y below are being considered for purchase. Machine X 200 Machine Y 1200 Initial Cost Uniform annual benefit 100 300 Salvage value Life, year 150 160 3 6. If the MARR is 5% which machine should be bought? O Machine Y Machine X