Uncle Elmo needs to replace the family privy. The local sanitary engineering firm has submitted two alternative
Question:
Uncle Elmo needs to replace the family privy. The local sanitary engineering firm has submitted two alternative structural proposals with respective cost estimates as shown. Which construction should Uncle Elmo choose if his minimum attractive rate of return is 6%. Use both a present worth and annual cost approach in your comparison.
Transcribed Image Text:
Brick Masonite First cost Annual maintenance Salvage value Service life, in years $250 $1000 20 10 10 100 20
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 58% (12 reviews)
Use 20 year analysis period Net Present worth Approach NPW M...View the full answer
Answered By
Keziah Thiga
I am a self motivated financial professional knowledgeable in; preparation of financial reports, reconciling and managing accounts, maintaining cash flows, budgets, among other financial reports. I possess strong analytical skills with high attention to detail and accuracy. I am able to act quickly and effectively when dealing with challenging situations. I have the ability to form positive relationships with colleagues and I believe that team work is great key to performance. I always deliver quality, detailed, original (0% plagirism), well-researched and critically analyzed papers.
4.90+
1504+ Reviews
2898+ Question Solved
Related Book For
Question Posted:
Students also viewed these Economics questions
-
Two alternatives are being considered: If the minimum attractive rate of return is 7%, which alternative should be selected? $9200 $5000 First cost Uniform annual benefit $1850 $1750 Useful life, in...
-
A particular securitys equilibrium rate of return is 8 percent. For all securities, the inflation risk premium is 1.75 percent and the real risk-free rate is 3.5 percent. The securitys liquidity risk...
-
If the firms required rate of return is 14 percent, what is the net present value of the following project? Year Cash Flow 0 .......... $(75,000) 1 .......... 50,000 2 .......... 40,000
-
You have recently been hired as a fund manager in the portfolio management team of a bank. Your Director, John Tan has arranged a meeting next week to present an investment proposal to a prospective...
-
Consider two computer systems that are identical except for their CPUs. System 1 contains a 1.8 GHz Pentium 4, whereas System 2 contains a 1.8 GHz PowerPC processor. Will these two systems always...
-
On January 1, Year 3, Starlight Construction Co. began a construction project qualifying for capitalization of interest. The total amount spent on this project during Year 3 was $250,000, spent...
-
A large MNE in the cookware industry was having difficulties maintaining its market share due to a number of mergers among other competing firms in the industry. The MNE, with corporate headquarters...
-
Peninsula Company owns an 80% controlling interest in Sandbar Company. Sandbar regularly sells merchandise to Peninsula, which then sells to outside parties. The gross profit on all such sales is...
-
Williams Group started a new business on September 1, 2021. That same day, Williams Group also received $430,000 of cash from issuing common stock and borrowed $230,000 from a friend. On September 1,...
-
One out of 279937 dices is produced with a fault that number "l" is printed on all faces. A person rolls a dice 7 times and observes that all 7 rolls come up with number "1" (a) State the Bayes\'...
-
The town of Dry Gulch needs an additional supply of water from Pine Creek. The town engineer has selected two plans for comparison: a gravity plan (divert water at a point 10 miles up Pine Creek and...
-
The manager in a canned food processing plant is trying to decide between two labeling machines. Their respective costs and benefits are as follows: Assume an interest rate of 12%. Use annual cash...
-
Batteries and fuel cells employ a. oxidation reactions only b. reduction reactions only c. both oxidation and reduction reactions d. acid-base neutralization reactions
-
NewCrest is looking to invest at most $500,000. The investment can be divided among three options. The return on each option depends on the economic outlook, which is shown in Table 1. For example,...
-
Before AUSING LTD approaches the bank for a loan the company has asked their internal credit department to see if the firm can generate any internal funds. Hints: Calculate the omitted values in the...
-
Calculate work in process and finished goods from job cost sheets. (LO 3, 5) Laubitz Company begins operations on April 1. Information from job cost sheets shows the following: Manufacturing Costs...
-
Using the experimentally obtained IR spectra, tabulate the IR frequencies and intensities for both cis and trans isomers of copper(II) glycine complexes. Make necessary functional group assignments...
-
The electricity supply of a certain U.S. state needs to be increased. The state is very cloudy and rainy from October to April. There are several large rivers, and there are almost no areas with high...
-
Rank the weight of the authorities below beginning with the item with greatest authority. a. Internal Revenue code section b. Letter Ruling c. Article in the Journal of Taxation d. Tax Court decision...
-
Which, if any, of the dichloroethene molecules drawn in Data Table II (3.) (4.) and (5.) are geometric isomers? A. B. C. D. cis-1,2-dichloroethene and trans-1,2-dichloroethene...
-
The catalytic gas phase oxidation of naphthalene to form phthalic anhydride is thought to take place as follows: The reaction has been studied by DeMaria, Longfield, and Butler [Ind. Eng. Chem., 53,...
-
A chemical factory dumps pollutants into a nearby river (permissible under the existing laws). In lieu of dumping into the river, the factory could pay for the pollution to be hauled to a toxic waste...
-
A factory releases air pollutants that have a negative impact on the adjacent neighborhood (populated by 2,000 households). If the government could assign property rights to the air to either the...
-
Compare a pollution reduction program that permits a certain level of pollution using emissions standards with one that permits the same level of pollution using tradable emissions permits.
-
1 0 . What type of passing parameter based on the following code fragment? class Student { public static void main ( String [ ] args ) { Student s = new Student ( Ali , 2 1 ) ; printData ( s ) ; }...
-
Observe changes occurred in value of all registers, which is accessed by operand in Debug Mode, then fill the blanks. (Write all esi value in L1 and ebx value in L2) TITLE Practice08-1 INCLUDE...
-
ALGORITHM Brute ForceClosest Pair(P) //Finds distance between two closest points in the plane by brute force //Input: A list P of n (n 2) points p(x1, y),..., Pn(xn, yn) //Output: The distance...
Study smarter with the SolutionInn App