8. Two electric motors are being evaluated for an automated paint booth application. Each motor have an output of 10 horsepower. It is estimated that the booth will be operated at an average of 8 hours per day for 250 days per year. MARR is 12% per year before taxes and the machine must return the capital in 5 years. Motor A costs P68,000 and has a guaranteed efficiency of 85% at the indicated operating load. Motor B costs P56,000 and has a guaranteed efficiency of 80% at the same operating load. Electric energy costs P 6.80 per kilowatt-hour and 1hp = 0.746kW. Determine the annual cost of electric energy in operating motor A.
8. Two electric motors are being evaluated for an automated paint booth application. Each motor have an output of 10 horsepower. It is estimated that the booth will be operated at an average of 8 hours per day for 250 days per year. MARR is 12% per year before taxes and the machine must return the capital in 5 years. Motor A costs P68,000 and has a guaranteed efficiency of 85% at the indicated operating load. Motor B costs P56,000 and has a guaranteed efficiency of 80% at the same operating load. Electric energy costs P 6.80 per kilowatt-hour and 1hp = 0.746kW. Determine the annual cost of electric energy in operating motor A.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
PLEASE ANSWER ASAP >> ECONOMICS
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 6 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education