A question from engineering economics solve it with detailed steps so I can understand easily also provide formulas .Note: solve it carefully

gzgestion No.4 (8+7+5 Marks) CLO 4 a. Applications of green, lean manufacturing techniques coupled with value stream mapping can make large nancial differences over future years while placing greater emphasis on environmental factors. Engineers with Monarch Paints have recommended to management an investment of $200,000 now in novel methods that will reduce the amount of waste water, packaging materials, and other solid waste in their consumer paint manufacturing facility. Estimated savings are $15,000 per year for each of the next 10 years and an additional savings of $300,000 at the end of 10 years in facility and equipment upgrade costs. Design a solution to increase the rate of return by 5%. At rst, calculate the actual rate of return by using estimation technique. Also, what will be the nominal and effective interest rates per year, compounded semiannually. b. Jorge is working in health care sector since 25 years with Siemens, he is a loyal and committed worker started his work with the same organization when he was 22 years old. He started thinking about his saving plans for the future retirement. Apart from the company retirement gift of $20,000 he is considering to savings plan by keeping the retirement age of 72 years in his mind. - Option 1: Deposit $1,000 at the end of each quarter for the rst 10 years from now-onwards and. make no further deposits, but leave the amount accumulated at the end of 10 years for the next years till retirement 0 Option 2: Do nothing for the rst 10 years. Then deposit $6,000 at the end of each year till retirement years. If deposits or investments earn at an interest rate of 6% compounded quarterly, design an optimal solution that which of the following option will be suitable based on what he will be able to accumulate. Represents the calculation in the form of cash flow table shown the total sum deposited and at the end and start of the year. c. A project being consider by a local government has the following estimated benet cost data $1000 investment for the rst 2 years and then recurring cost of $5000 for the coming 2 years and $3000 for year 5& 6 respectively. Also there are benets of $20,000, $30,000, 5 30,000 and $20,000 starting from the third year. Consider the interest rate to be 10%, design an optimal solution to perform cost-benet analysis and conclude if the project is suitable or not. 3