Question: Two designs are being considered for a new sorting process in a multi-species fish plant. According to the values shown in the Table below, using

Two designs are being considered for a new sorting process in a multi-species fish plant. According to the values shown in the Table below, using a PW analysis and the repeated lives approach (where the LCM is 24 years) what is the total PW of Design1? Use a MARR of 11% and Round your answer to the nearest Dollar.

	Design 1	Design 2
Capital Cost	95000	xxxxx
Annual Savings	27000	xxxxx
Annual Expenses	4250/year	xxxxx
Salvage Value	16000	xxxxx
Useful Life	8 years	12 years

Step by Step Solution

★★★★★

3.37 Rating (153 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Step 11 ANSWER Present Worth using Repeated Live Approach ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Two parcels of land are being considered for a new office building. Both sites cost the same amount but differ mainly in their annual property tax assessments. The parcel in City A has a current...

Three different designs are being considered for a new electronics product, and profits will depend on the combination of product design and market condition. The following payoff table summarizes...

Two different fuels are being considered for a 1 MW (net output) heat engine which can operate between the highest temperature produced during the burning of the fuel and the atmospheric temperature...

Kagle design engineers are in the process of developing a new green product, one that will signicantly reduce impact on the environment and yet still provide the desired customer functionality....

Three mutually exclusive projects are being considered for a new park. The life of the park is expected to be 100 years and the sponsoring agency's MARR is 10% per year. Annual benefits to the public...

10-17. Four mutually exclusive projects are being considered for a new 2-mile jogging track. The life of the track is expected to be 80 years, and the sponsoring agencys MARR is 12% per year. Annual...

Two steels are being considered for manufacture of as-forged connecting rods. One is AISI 4340 Cr-Mo-Ni steel capable of being heat-treated to a tensile strength of 260 kpsi. The other is a plain...

Two sites are being considered for wind power generation. In the first site, the wind blows steadily at 7 m/s for 3000 hours per year, whereas in the second site the wind blows at 10 m/s for 2000...

Three designs are being considered for a wormgear set to produce a velocity ratio of 20 when the wormgear rotates at 90 rpm. All three have a diametral pitch of 12, a worm pitch diameter of 1.000 in,...

Two different routes, which entail driving across a mountainous section, are being considered for a highway construction project. The first route (the high road) will require building several bridges...

Dement of the Trury Irenal Service 22-6654454 Toni Preventi Employer defication number (CN) Name (nok your trade name) Trade ramen Address OMB No 1545-0009 Report for this Quarter 2018 (Check one.)...

An automaker entered the marketplace with a car to compete with two other brands already in that market. In the first month after introduction, the new entry got 355 sales of a random sample of 1000...

How to find if any no. is divisble by 4 or not ?

Explain the Pascals Law ?

A report (LO8) on United Nation following issues: 1- Brief introduction to the organisation and sector it operates in, including a summary of the past 3 years' revenue (2020 to 2022), operating...

What are the objectives of performance appraisal ?

= a 4. The prices of a call option ($c) and put option ($p) on the same underlying asset with current price $So, strike price $K, and maturity T years, and interest rate RF are equal (C=P). There is...

For each of the following reactions, express the equilibrium constant: a) H20 (I) H2 (g) + 02 (g) Ke = 1.0x107 b) Fe2 (g) 2F (g) Ke= 4.9 x 10-21 c) C (s) + O2 (g) d) H2 (g) + C2H4 (g) C2H6 (g) Ke =...

Compute the effective annual interest rate in each of the following situations. a. 5.75% nominal interest, compounded quarterly. b. 5.75% nominal interest, compounded daily.

Suppose for some year the income of a small company is $110,000; the expenses are $65,000; the depreciation is $25,000; and the effective income tax rate = 40%. For this year, the ATCF is most nearly...

What value of T makes these two cash flow diagrams (see Figure P4-74) economically equivalent at 8% annual interest? Figure P4-74: $1,000 $1,000 $500 $500 2 3 4 6. EOY EOY 3T in 1.

Decades of overfishing have dramatically reduced the world supply of cod (a type of whitefish). Farm-raised halibut is considered a close substitute for ocean-fished cod. a. On the graph in Figure...

Suppose government offers a subsidy to laptop sellers. Say whether each group of people gains or loses from this policy. a. Laptop buyers. b. Laptop sellers. c. Desktop computer sellers (assuming...

Evie has a gift pass for unlimited rollercoaster rides on her birthday. Given the information about Evies utility in Table 7P-1, explain why she chooses to ride only three times.