Two types of robots (Cartesian and Articulated) with the following estimates are under consideration for a dishwasher assembly process. Using an interest rate of 10% per year, determine which one should be selected on the basis of an annual worth analysis. Robot Cartesian Articulated First cost, $ −300,000 −430,000 AOC, $/year −60,000 −40,000 Salvage value, $ 70,000 95,000 Life, years 4 6

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Two types of robots (Cartesian and Articulated)
with the following estimates are under consideration
for a dishwasher assembly process. Using an
interest rate of 10% per year, determine which one
should be selected on the basis of an annual worth
analysis.
Robot Cartesian Articulated
First cost, $ −300,000 −430,000
AOC, $/year −60,000 −40,000
Salvage value, $ 70,000 95,000
Life, years 4 6

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