Engineering Economy (16th Edition) - Standalone book
Engineering Economy (16th Edition) - Standalone book
16th Edition
ISBN: 9780133439274
Author: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher: PEARSON
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Chapter 2, Problem 36P
To determine

The process that maximizes the profit per day.

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A labor-intensive process has a fixed cost of $338,000 and a variable cost of $143 per unit. A capital-intensive (automated) process for the same product has a fixed cost of $1,244,000 and a variable cost of $92.50 per unit. How many units must be produced and sold at $197 each for the automated process to be preferred to the labor-intensive process?
How many books will a publisher have to sell to breakeven if fixed costs are $100,000, the selling price perbook is $60, and the variable costs per book are $40?
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.
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