Question 3 (50 pts) (i) Estimate the total module cost (CTM) of the styrene plant. Additional information: Sum of purchased equipment costs (in 2001 prices): $7.82 million Assume current CEPCI is 620 (ii) Estimate annual cost of manufacturing excluding depreciation (COM) and the annual revenue (R) Additional information: Operator annual salary: $60,000/y Total utilities costs: $5.25m/y Total waste treatment costs: $0.1m/y Raw material requirements: Ethylbenzene: 13000 kg/h, HP Steam:72300 kg/h Production rates: Styrene: 12500 kg/h, Hydrogen: 255 kg/h, Benzene:289 kg/h Market prices: Ethylbenzene: $1.05/kg HP Steam: $0.018/kg Styrene: $1.78/kg Hydrogen: $10.05/kg Benzene: $1.09/kg (iii) Determine Net Present Value (NPV) and Discounted Payback Period (DPBP) and comment on the profitability of this project. Additional information: Land: $10m FCI (CTM): 50% at end of year 1, 50% at end of year 2(calculated in part (1) Working capital: $25m Salvage value: 10% of FCI Tax Rate: 25% Depreciation: MACRS 5-years Start-up: End of year 2 Plant life: 10 years after start-up Interest rate: 10%