An effective method to recover water used for regeneration of ion exchange resins is to use a

Question:

An effective method to recover water used for regeneration of ion exchange resins is to use a reverse osmosis system in a batch treatment mode. Such a system involves recirculation of the partially treated water back into the feed tank, causing the water to heat up. The water can be cooled using one of two systems: a single-pass heat exchanger or a closed-loop heat exchange system. The single-pass system, good for 3 years, requires a small chiller costing $920 plus stainless steel tubing, connectors, valves, etc. costing $360. The cost of water, treatment charges, electricity, etc. will be $3.10 per hour. The closed-loop system will cost $3850 to buy, will have a useful life of 5 years, and will cost $1.28 per hour to operate. What is the minimum number of hours per year that the cooling system must be used in order to justify purchase of the closed-loop system? The MARR is 10% per year, and the salvage values are negligible.


Salvage Value
Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important...
MARR
Minimum Acceptable Rate of Return (MARR), or hurdle rate is the minimum rate of return on a project a manager or company is willing to accept before starting a project, given its risk and the opportunity cost of forgoing other...
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Engineering economy

ISBN: 978-0073376301

7th Edition

Authors: Leland Blank, Anthony Tarquin

Question Posted: