Engineering economics - Use attached interest table to solve and SHOW WORK.

PART A) calculate present worth of process line A

PART B) calculate present worth of process line B

PART C) Which process line should be selected and how much should be saved?

Which process line (A or B) should be built for a new chemical?. The expected market for the chemical is 20 years A 9% annual rate is used to evaluate the new process facilities, which are compared with present worth. How much does the better choice save in terms of present value?. For your calculations in parts (a),(b) and (c) use the LCM method. Alternative $18M $26M First cost Annual O&M cost $6M $5M Salvage value $5M $6M Life 10 years 20 years