Engineering Economy (17th Edition)
17th Edition
ISBN: 9780134870069
Author: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher: PEARSON
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Chapter 12, Problem 18P
To determine
Calculate the probability.
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Two proposals remain for consideration that have been put forward for a hydroelectric system. Moreover, the water system of alternative 1 will cost $30 (unit $0,000) and need to be replace every 10 year indefinitely (starting end of year 10), and the water system of alternative 2 will cost $40 (unit $0,000) and will need to be replace every 15 year indefinitely (starting end of year 15). Estimate annual cost for each system which alternatives should be invested if the corporate MARR is currently 10% per year.
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(Chapter 6- Annual Equivalent Worth Analysis)
Fisher Publishing Inc. is doing a financial feasibility analysis for a new book. Editing and preproduction costs are estimated at $45,000. The printing costs are a flat $7000 for setup plus $8.00 per book. The author's royalty is 8% of the publisher's selling price to bookstores. Advertising and promotion costs are budgeted at $8000.
a. If the price to bookstores is set at $35, how many books must be sold to break even? (Round the answer up to the nearest whole number.)
b. The marketing department is forecasting sales of 4800 books at the $35 price. What will be the net income from the project at this volume of sales?
Chapter 12 Solutions
Engineering Economy (17th Edition)
Ch. 12 - Prob. 1PCh. 12 - Prob. 2PCh. 12 - A new snow making machine utilizes technology that...Ch. 12 - Prob. 4PCh. 12 - Prob. 5PCh. 12 - Prob. 6PCh. 12 - Prob. 7PCh. 12 - Prob. 8PCh. 12 - Prob. 9PCh. 12 - Prob. 10P
Ch. 12 - Prob. 11PCh. 12 - Prob. 12PCh. 12 - Prob. 13PCh. 12 - Prob. 14PCh. 12 - Prob. 15PCh. 12 - Prob. 16PCh. 12 - Prob. 17PCh. 12 - Prob. 18PCh. 12 - Prob. 19PCh. 12 - Prob. 20PCh. 12 - Prob. 21PCh. 12 - Prob. 22PCh. 12 - If the interest rate is 8% per year, what decision...Ch. 12 - Prob. 24PCh. 12 - Prob. 25PCh. 12 - Prob. 26SE
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