Part I: Project Selection A condenser using refrigerated water is being considered for the recovery of a solvent used in a pharmaceutical coating operation. The amount of solvent recovered from the gas stream is a function of the temperature to which it is cooled. Three cases, each using a different exchanger and a different amount of refrigerated water, are to be considered. Data for the process cases are given in the table. If the nondiscounted rate for projects is set at 15%, which case do you recommend? (Consider incremental analysis using ROROII) Part II: Equipment Selection A design engineer is evaluating two pumps for handling a corrosive solution. The information on the pumps is the following Determine the annual interest rate at which the two pumps are competitive. Use capitalized cost method. Additional Data: ROROII=IncrementalInvestmentIncrementalYearlySavings Capitalized Cost Method Equivalent Capitalized Cost =(1+i)n1P(1+i)n+YOC[i(1+i)n1)] Depreciation dkSL=nFCISdkSOYD=2n(n+1)(n+1k)(FCIS)dkDDB=n2(FCIj=0j=k1dj)StraightLineDepreciationMethodSumoftheYearsDigitsDepreciationDoubleDecliningBalanceDepreciatior Table.1 Commonly Used Factors for Cash Flow Diagram Calculation Part I: Project Selection A condenser using refrigerated water is being considered for the recovery of a solvent used in a pharmaceutical coating operation. The amount of solvent recovered from the gas stream is a function of the temperature to which it is cooled. Three cases, each using a different exchanger and a different amount of refrigerated water, are to be considered. Data for the process cases are given in the table. If the nondiscounted rate for projects is set at 15%, which case do you recommend? (Consider incremental analysis using ROROII) Part II: Equipment Selection A design engineer is evaluating two pumps for handling a corrosive solution. The information on the pumps is the following Determine the annual interest rate at which the two pumps are competitive. Use capitalized cost method. Additional Data: ROROII=IncrementalInvestmentIncrementalYearlySavings Capitalized Cost Method Equivalent Capitalized Cost =(1+i)n1P(1+i)n+YOC[i(1+i)n1)] Depreciation dkSL=nFCISdkSOYD=2n(n+1)(n+1k)(FCIS)dkDDB=n2(FCIj=0j=k1dj)StraightLineDepreciationMethodSumoftheYearsDigitsDepreciationDoubleDecliningBalanceDepreciatior Table.1 Commonly Used Factors for Cash Flow Diagram Calculation