Two 150 horsepower motors are being considered for the company's expansion, as presented in the table...
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Two 150 horsepower motors are being considered for the company's expansion, as presented in the table below (1 hp = 0.746 kw, Php10 per Kw-hour): Motor A Motor B Purchase price Php 200,000 Php 250,000 Useful life 10 years 10 years Market value None 2,500 Annual operational cost 15,000 30,000 Annual maintenance cost 10,000 5.000 Efficiency MARR 80% 10% per year 90% How many hours of operations can the company chose either motor A or motor B (the breakeven hours for both motors)? If the motor is to operate for less than and greater than the break-even hours for both motors, which motor should be chosen? Input answers in the succeeding questions. Two 150 horsepower motors are being considered for the company's expansion, as presented in the table below (1 hp = 0.746 kw, Php10 per Kw-hour): Motor A Motor B Purchase price Php 200,000 Php 250,000 Useful life 10 years 10 years Market value None 2,500 Annual operational cost 15,000 30,000 Annual maintenance cost 10,000 5.000 Efficiency MARR 80% 10% per year 90% How many hours of operations can the company chose either motor A or motor B (the breakeven hours for both motors)? If the motor is to operate for less than and greater than the break-even hours for both motors, which motor should be chosen? Input answers in the succeeding questions.
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