Basics Of Engineering Economy
Basics Of Engineering Economy
2nd Edition
ISBN: 9780073376356
Author: Leland Blank, Anthony Tarquin
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 4, Problem 18P

a:

To determine

Calculate the present worth.

b:

To determine

Calculate the present worth through spreadsheet.

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Students have asked these similar questions
Aero Serve, Inc. manufactures cleaning nozzles for reverse pulse jet dust collectors. The company spent $40,000 on a production control system that will increase profits by $11,096 per year for 5 years. The rate of return per year on the investment is closest to: (a) 20% (b) 16% (c) 12% (d) Less than 11%
Identify at least three noneconomic attributes that may be used as evaluation criteria in the decisionmaking process.
Las Cruces' Virgin Galactic is considering two materials for certain parts in a reusable space vehicle: carbon fiber reinforced plastic (CFRP) and fiber reinforced ceramic (FRC). The costs are shown below. Which should be selected on the basis of a present worth comparison if MARR = 10% per year? (a) Solve using tabulated factors. (b) (Spreadsheet exercises) Solve using single-cell functions. (c) Using your spreadsheet functions, will the selection change if the estimated life of the CFRP material is 4, rather than 2, years? Material CFRP First cost, $ Maintenance cost, $/year -29,000 Salvage value, $ 2,000 Life, years FRC -205,000 -235,000 -27,000 20,000 2 4

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Basics Of Engineering Economy

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