In AW OF MACHINE A FIRST COST - 27056ANNUAL COST - 12.786Salvage value - 4172Life year - 3 In AWA MACHINE Bfirst cost - 102616Salvage value - 9501Life - Infine ( all values in $) Sorry may b picture is not so clear please tell me how to calculate for th below two machines and based on AW analysis which machine we should select MARR-10Machine AMacneFrst cost.Anmual cost, yearSalvage valun,Le years27.056100.0007.00012.764172deiteAnswer the below questionA the AW for machine A For th below two machines and based on AW analysis which machine we should select? MARR-10Machine102,616Machine AFirst cost,Annual cost. SyearSalvage value, SLife, years29.95612,8449,5016,224-ntniteAnswer the below questionethe AW for machine

Here we calculate the Annual Worth of the Machine A and B by using the given details , so the…

Answered: In AW OF MACHINE A FIRST COST -…

In AW OF MACHINE A FIRST COST - 27056 ANNUAL COST - 12.786 Salvage value - 4172 Life year - 3 In AWA MACHINE B first cost - 102616 Salvage value - 9501 Life - Infine ( all values in $)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: The maintenance cost of a certain machine is zero the f by $200 per year for each year thereafter.…

A: We have given the first cost of the machine P=$2000 Salvage value is zero at any time F=0 for all n…

Q: Question 8 Two processes can be used for producing a polymer that reduces friction loss in engines,…

A: Interest rate= 10% For process A First cost= $1,179,136 Annual operating cost per year= $80,727…

Q: 2-A company has requested price offers from two companies for the equipment they will purchase.…

A: a. Below is the calculation: Project A : = -700000 - 1500000A/P, 10%, 8 + 100000P/F, 10%,…

Q: 100 90 80 ATC 70 50 30 AVC 20 MC 10 + 0 0 5 10 15 20 25 30 35 40 45 50 QUANTITY (Thousands of pans)…

A: In perfect competition we assume that the marginal cost curve is same as the supply curve. The below…

Q: Please solve with the step and no reject I'm needed max in 60 minutes thank u Cost of a machinery…

A: Cost of machine = 10 billion Interest rate = 12% Economic Life = 20 years We find the annual worth…

Q: Determine breakeven annual revenue: please draw CDF

A: First Cost = 60,000 Cost = 1000 per year Annual Revenue = 5000 per year Salvage Value = 200

Q: Cost data of a machine is shown in the following table with an annual rate of 12%. Calculate annual…

A: Annual Worth describes the annual average of the sum of costs and receipts that a project faces over…

Q: 8. When she was 6 years old, Jane's | set up an annuity for her college educ with the first payment…

A: Deferment 12 Interest rate 0.06 compounding 2 Semi-annual payment 8,000

Q: Buying Equipment 1 from XYZ company and company ABC will give the production similar productivity…

A: Present worth, also known as net present value (NPV), is a financial concept used to assess the…

Q: A project has a $33000 first cost that returns $9000 per year over its 20 year life. It has a $6000…

A: MARR is an abbreviation for a minimum acceptable rate of return. It is the concept under engineering…

Q: At i = 10% per year, a machine has a first cost of $8,000 and estimated operating costs and year-end…

A: In the provided case the equated annual cost method of analysis is an optimal computation to decide…

Q: A machine has a first cost of $10,000 and annual costs of $3500. There is no salvage value, and…

A: Given information: Initial cost = $10,000 Annual costs = $3500 Interest rate = 10%

Q: The following are two alternatives need to be evaluated and select the best available one: X -35000…

A: Because the alternatives have unequal useful life thus LCM method will be used The LCM of 2 and 4…

Q: Required information The Briggs and Stratton Commercial Division designs and manufacturers small…

A: Salvage value refers to the estimated residual value of an asset at the end of its useful life or…

Q: first cost AOC maint cost Salvage uclue Life Qu A 150 000 B 200 000 10 000 3500 in year 4 12000 5000…

A: Present worth refers to the discounted value of future cash flows . The alternative with lesser PW…

Q: The fixed cost at Sonny Motors is $5765764 annually. The main product has revenue of $84 per unit…

A: Given fixed cost = 5,765,764 P Revenue per unit = 84 $ Variable cost per unit = 43 Units sold =…

Q: Required information A company that manufactures magnetic flow meters expects to undertake a project…

A: The annual worth ascertains the annual cash flow throughout the investment period which is…

Q: A company has requested price offers from two companies for the equipment they will purchase.…

A: We are going to use Present value approach to answer this question.

Q: 40000$, Maintenance Cost Expected customer Demand (KWH) Year 0 0 0 350 1500 1 300 1200 2…

A: Year Cost 0 40000 1 350 2 300 3 200 4 200 5 150

Q: Problem 1. Indicate which process from the alternatives shown below should be used on the basis of…

A: Here we calculate the annual worth of the process X and Y by using the given information , so the…

Q: Golf International Division designs and manufactures small engines for golf turf maintenance…

A: Given that; MARR=10% The equivalent annual worth of B System can be calculated as follows.…

Q: As an engineer, you are responsible to find the best alternative that is economically best. The cash…

A: Since this question consists of multiple parts, we will solve the first two parts for you. If you…

Q: Two alternatives are being considered for the upgrades to a detector at an X-ray synchrotron…

A: Here we calculate the Present worth of two alternatives and choose the correct option so the…

Q: Q1) Using AW method compare between the following alternatives: Operating and maintenance F.C. S.V.…

A: here we calculate the given by following method as follow;

Q: ME alternatives, which machine should be selected based on the PW analysis. MARR-10% First cost, $…

A: the minimum acceptable rate of return, is the lowest rate of return that the project must earn in…

Q: 1. TT Racing and Performance Motor Corporation wishes to evaluate two alternative CNC machines for…

A: The cost structure for both alternatives is presented in the table below:Machine RMachine SFirst…

Q: There are three machines in the mechancical engineering lab A B, and Cand need to be evaluated…

A: Write the formula used for calculation as follows: Present worth = -first cost - Annual cost…

Q: Using the below details, answer the following questions. Use interest rate = 10% (must show your…

A: The Life of both the machines is unequal in the given question. In order to make comparison between…

Q: First cost, $ Annual cost, $ per year -33,000 -8,000 -51,000 -3,500

A: Annual Worth (AW) Analysis is characterized as the same uniform annual worth of all assessed…

Q: 1 Uniform Annual Cash Flow An engineer has an fluct uating fut ure budget for the maitnt enance of a…

A: Equivalent annual cost (EAC) is the annual cost of owning, operating, and maintaining an asset over…

Q: Quest io n 12 A manufacturer can sell a certain product for R80 per unit. Total cost consists of a…

A: Answer: The total cost function is given below: Cx=Fixed cost+variable cost×quantityLet the quantity…

Q: Engineering Economy H.W You have $56,000. Suggest two projects to be made by this amount of money…

A: Project A and Project B. We'll assume that both projects have an initial cost of $56,000, a duration…

Q: As an engineer, you are responsible to find the best alternative that is economically best. The cash…

A: The AW Formula which will be used for Project 1 and 2 = First cost(A/P,12%, life)+Annual…

Q: A property is bought for Php10000 and yields a Php1000 yearly profit. If it is sold after 5 years,…

A: When the firm's revenues are just sufficient to cover all costs of production, including opportunity…

Q: A city engineer is considering two alternatives for the local water supply. Make a present-worth…

A: here we calculate the present worth of the both alternative and select the highest present value…

Q: For the below ME alternatives, which machine should be selected based on the AW analysis. MA First…

A: Annual worth is the equal annual cost of machine. Present value is the value of investment in…

Q: A solid-waste recycling plant is considering two types of storage bins. Use ROR evaluation and an…

A: Rate of Return (ROR) is a financial metric that measures the profitability of an investment. It is…

Q: For the cash flows shown, determine the incremental cash flow between machines B and A for (a) year…

A: Given: First Cost: A: -15000, B:-25000

Q: . Calculate the present worth of a machine which costs $80000 initially and will have a $18000…

A: Given Information Interest eate (i) = 9%Initial cost = 80000 Salvage Value = 18000Operating cost =…

Q: Q2) A company invests in one of three altematives which has the cash flow as represent in the table…

A: Details Investment Amount Revenue Cost Purchasing cost Salvage Value Life Project 1 2200000 400000…

Q: Compare two alternatives for a security system surrounding a power distribution substation using…

A: Interest rate=10% Two alternatives Condi and Torro are given Annual worth analysis is asked to be…

Q: two following alternatives should be chosen using the following methods? DRAI Pamper pipes P 75,000…

A: *Answer:

Question

In AW OF MACHINE A

FIRST COST - 27056

ANNUAL COST - 12.786

Salvage value - 4172

Life year - 3

In AWA MACHINE B

first cost - 102616

Salvage value - 9501

Life - Infine

( all values in $)

Sorry may b picture is not so clear please tell me how to calculate

for th below two machines and based on AW analysis which machine we should select MARR-10
Machine A
Macne
Frst cost.
Anmual cost, year
Salvage valun,
Le years
27.056
100.000
7.000
12.76
4172
deite
Answer the below question
A the AW for machine A

For th below two machines and based on AW analysis which machine we should select? MARR-10
Machine
102,616
Machine A
First cost,
Annual cost. Syear
Salvage value, S
Life, years
29.956
12,844
9,501
6,224-
ntnite
Answer the below questione
the AW for machine

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

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.

Similar questions

A company buys equipment for $30000. Annual net savings is 1000 per year for 8 years. The equipment is sold for a salvage value of $40,000 at end of 8 years. The company wants 8% return on any investment they make. Is this a good investment for 4) them? Use the Annual Worth method.
A project is being considered that has a first cost of $12,500, creates $5000 in annual cost savings, requires $3000 in annual operating costs, and has a salvage value of $2000 after a project life of 3 years. If interest is 10% per year, which formula calculates the project's present worth? (a) PW = 12,500(P/F, 10%, 1) + (-5000+3000) (P/A, 10%, 3) (b) PW = -12,500+ (5000-3000) (P/A, 10%,3 (d) PW = -12, 500+ - 2000 (F/P, 10%, 3) ) - 2000(P/F, 10%, 3) (c) PW = 12,500 (F/P, 10%, 3) + (5000-3000) (F/A, 10%, 3) +2000 5000 (P/A, 10 %, 3) - 3000 (P/A, 10 %, 3) + 2000 (P/F, 10%, 3)
i=10%
2-8 Consider the accompanying breakeven graph for an investment, and answer the following questions as they pertain to the graph. Euros (x104) €40r 585850 35 30 25 20 15 10 s 0 Total Revenue Total Cost 250 500 750 1000 1250 1500 1750 Output (units/year) Give the equation to describe total revenue for x units per year. (b) Give the equation to describe total costs for x units per year. (c) What is the "breakeven" level of x in terms of costs and revenues? (d) If you sell 1500 units this year, will you have a profit or loss? How much?
SUBJECT: Engineering Economics Number 3
A solid-waste recycling plant is considering two types of storage bins. Use ROR evaluation and an MARR of 18% per year to determine which should be selected, Storage Bin First Cost, $ AOC, $ per Year Salvage Value, $ Life, Years -22,000 -4000 1800 3 -35,000 -2300 2600 6 Since Alis (Click to select) MARR of 18%, [Click to select) should be selected.
From the data shown, determine the ESL of the asset. (Note: Values in the table are AW values, not individual year end values.) AW of First Cost, $ AW of Salvage Value, $ AW of Operating Cost, $ -48000 164000 99,000 -36000 38,095 47000 18,127 -53000 6464 49000 3276 Years Retained 1 2 3 4 5 The ESL of the asset is year(s). -148000 -162000 134000 154000
Required information The TT Racing and Performance Motor Corporation wish to evaluate two alternative machines for NASCAR motor tune- ups. Machine First cost, $ Annual operating cost, $ per year Life, years Salvage value, $ -254,000 -40,000 The better alternative is machine S 3 20,400 Use the AW method at 9% per year to select the better alternative. The annual worth of machine R is $- S -360,500 -50,000 5 19,600 47694, and the annual worth of machine S is $- 10970
Engineering economics
1
To convert actual (inflated) dollars to constant purchasing power dollars (where n = difference in time between today and purchasing base) that occur at the same point in time, one must: (a) Multiply by (P/F, inflation rate %, n). (b) Multiply by (F/P, inflation rate %, n). (c) Multiply by (P/F, combined rate %, n). (d) Divide by (P/F, real interest rate %, n).?