Basics Of Engineering Economy
2nd Edition
ISBN: 9780073376356
Author: Leland Blank, Anthony Tarquin
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Question
Chapter 5, Problem 30P
To determine
Calculate the annual worth.
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A large textile company is trying to decide among three alternatives of sludge dewatering g, processes. The costs
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6) A large textile company is trying to decide among three alternatives of sludge dewatering
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A town in Wyoming wants to drill a geothermal well to provide district heating steam and hot water for its businesses and residences. After government
subsidies, the capital investment for the well is $418,000, and the geothermal well will reduce natural gas consumption for steam and hot water production by
$50,000 per year. The salvage value of the well is negligible. The simple payback period for this well is 9 years. If the MARR of the town is 6% per year and the
life of the geothermal well is 25 years, what is the IRR for this project?
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OA. The IRR for the project is 12.1% per year.
OB. The IRR for the project is 8.3% per year.
OC. The IRR for the project is 13% per year.
OD. The IRR for the project is 11.1% per year.
CXX
A town in Wyoming wants to drill a geothermal well to provide district heating steam and hot water for its businesses and residences. After
government subsidies, the capital investment for the well is $732,000, and the geothermal well will reduce natural gas consumption for
steam and hot water production by $60,000 per year. The salvage value of the well is negligible. The simple payback period for this well is
13 years. If the MARR of the town is 5% per year and the life of the geothermal well is 23 years, what is the IRR for this project?
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A. The IRR for the project is 6.1% per year.
B. The IRR for the project is 7% per year.
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Chapter 5 Solutions
Basics Of Engineering Economy
Ch. 5 - Prob. 1PCh. 5 - Prob. 2PCh. 5 - Prob. 3PCh. 5 - Prob. 4PCh. 5 - Prob. 5PCh. 5 - Prob. 6PCh. 5 - Prob. 7PCh. 5 - Prob. 8PCh. 5 - Prob. 9PCh. 5 - Prob. 10P
Ch. 5 - Two machines with the following cost estimates are...Ch. 5 - Prob. 12PCh. 5 - Prob. 13PCh. 5 - Prob. 14PCh. 5 - Prob. 15PCh. 5 - Prob. 16PCh. 5 - Prob. 17PCh. 5 - Prob. 18PCh. 5 - Estimates have been presented to Holly Farms,...Ch. 5 - Prob. 20PCh. 5 - Prob. 21PCh. 5 - Prob. 22PCh. 5 - Prob. 23PCh. 5 - Prob. 24PCh. 5 - Prob. 25PCh. 5 - Prob. 26PCh. 5 - A major repair on the suspension system of Janes...Ch. 5 - Prob. 28PCh. 5 - Prob. 29PCh. 5 - Prob. 30PCh. 5 - Prob. 31PCh. 5 - Prob. 32APQCh. 5 - Prob. 33APQCh. 5 - Prob. 34APQCh. 5 - Prob. 35APQCh. 5 - Prob. 36APQCh. 5 - The AW values of three revenue alternatives are ...Ch. 5 - Prob. 38APQCh. 5 - Prob. 39APQCh. 5 - Use an interest rate of 10% per year. The...Ch. 5 - Prob. 41APQCh. 5 - Prob. 42APQ
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