Engineering Economy
16th Edition
ISBN: 9780133582819
Author: Sullivan
Publisher: DGTL BNCOM
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Question
Chapter 6, Problem 32P
(a):
To determine
Calculate the annual cost.
(b):
To determine
Calculate the
(c):
To determine
Calculate ERR.
(d):
To determine
Selection of the project.
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Following is the output for equation 1:
reg hours spent_watching_netflix unemployed
Source
SS
df
MS
Number of obs
10,000
F(1, 9998)
=
14314.03
Model
Residual
3539.70065
2472.39364
9,998
1 3539.70065
.247288822
Prob F
R-squared
==
0.0000
=
0.5888
Total
6012.09429
9,999 . 601269556
Adj R-squared
Root MSE
=
0.5887
.49728
hours spen~x
Coef.
Std. Err.
t
P>|t|
[95% Conf. Interval]
unemployed
cons
1.189908 .0099456 119.64…
Dummy variables
News reports claim that in the last year television watching has increased. You believe that
rising unemployment during Covid may be one of the causes for this. Suppose you are
interested in looking at the effect of being unemployed on the hours spent watching Netflix
per day. You collect data on 10,000 people from Chicago who are between the age of 20 and
60. You define the dummy variable Unemployed which takes the value 1 for those who are
unemployed and 0 for those who are employed.
Equation 1:
Hours spent watching Netflix₁ = ßo + B₁Unemployed; + ε¿
Following is the output for equation 1:
reg hours spent_watching_netflix unemployed
Source
SS
df
MS
Number of obs
10,000
F(1, 9998)
=
14314.03
Model
Residual
3539.70065
2472.39364
9,998
1 3539.70065
.247288822
Prob F
R-squared
==
0.0000
=
0.5888
Total
6012.09429
9,999 . 601269556
Adj R-squared
Root MSE
=
0.5887
.49728
hours spen~x
Coef.
Std. Err.
t
P>|t|
[95% Conf. Interval]
unemployed
cons
1.189908 .0099456 119.64…
Chapter 6 Solutions
Engineering Economy
Ch. 6 - Prob. 1PCh. 6 - The Consolidated Oil Company must install...Ch. 6 - Prob. 3PCh. 6 - Three mutually exclusive design alternatives are...Ch. 6 - Prob. 5PCh. 6 - Prob. 6PCh. 6 - Fiesta Foundry is considering a new furnace that...Ch. 6 - Prob. 8PCh. 6 - Prob. 9PCh. 6 - Consider the following cash flows for two mutually...
Ch. 6 - Prob. 11PCh. 6 - Prob. 12PCh. 6 - The alternatives for an engineering project to...Ch. 6 - Prob. 14PCh. 6 - Prob. 15PCh. 6 - Prob. 16PCh. 6 - Refer to the situation in Problem 6-16. Most...Ch. 6 - Prob. 18PCh. 6 - Prob. 19PCh. 6 - Prob. 20PCh. 6 - Prob. 21PCh. 6 - Prob. 22PCh. 6 - Prob. 23PCh. 6 - Prob. 24PCh. 6 - Prob. 25PCh. 6 - In the Rawhide Company (a leather products...Ch. 6 - Refer to Problem 6-2. Solve this problem using the...Ch. 6 - Prob. 28PCh. 6 - Prob. 29PCh. 6 - Prob. 30PCh. 6 - Prob. 31PCh. 6 - Prob. 32PCh. 6 - Prob. 33PCh. 6 - Potable water is in short supply in many...Ch. 6 - Prob. 35PCh. 6 - Prob. 36PCh. 6 - In the design of a special-use structure, two...Ch. 6 - Prob. 38PCh. 6 - a. Compare the probable part cost from Machine A...Ch. 6 - Prob. 40PCh. 6 - Two mutually exclusive alternatives are being...Ch. 6 - Prob. 42PCh. 6 - IBM is considering an environmentally conscious...Ch. 6 - Three mutually exclusive earth-moving pieces of...Ch. 6 - A piece of production equipment is to be replaced...Ch. 6 - Prob. 46PCh. 6 - Prob. 47PCh. 6 - Prob. 48PCh. 6 - Prob. 49PCh. 6 - Prob. 50PCh. 6 - Prob. 51PCh. 6 - Prob. 52PCh. 6 - Prob. 53PCh. 6 - Prob. 54PCh. 6 - Prob. 55PCh. 6 - Prob. 56PCh. 6 - Prob. 57PCh. 6 - Prob. 58PCh. 6 - Prob. 59PCh. 6 - Prob. 60PCh. 6 - Prob. 61PCh. 6 - Prob. 62PCh. 6 - Prob. 63PCh. 6 - Prob. 64PCh. 6 - Prob. 65PCh. 6 - Prob. 66PCh. 6 - Three models of baseball bats will be manufactured...Ch. 6 - Refer to Example 6-3. Re-evaluate the recommended...Ch. 6 - Prob. 69SECh. 6 - Prob. 70SECh. 6 - Prob. 71SECh. 6 - Prob. 72CSCh. 6 - Prob. 73CSCh. 6 - Prob. 74CSCh. 6 - Prob. 75FECh. 6 - Prob. 76FECh. 6 - Prob. 77FECh. 6 - Complete the following analysis of cost...Ch. 6 - Prob. 79FECh. 6 - For the following table, assume a MARR of 10% per...Ch. 6 - Prob. 81FECh. 6 - Problems 6-82 through 6-85. (6.4) Table P6-82 Data...Ch. 6 - Prob. 83FECh. 6 - Problems 6-82 through 6-85. (6.4) Table P6-82 Data...Ch. 6 - Problems 6-82 through 6-85. (6.4) Table P6-82 Data...Ch. 6 - Consider the mutually exclusive alternatives given...Ch. 6 - Prob. 87FE
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