Two types of power converters are under consideration for a specific application. An economic comparison is to
Question:
Two types of power converters are under consideration for a specific application. An economic comparison is to be made using a MARR of 10% and the following cost estimates:
Alternative
Model A Model B
Service Life (Years) 5 10
First Cost $10,000 $20,000
Salvage Value 0 5,000
Annual Operating Cost 2,500 1,200
Draw the Cash Flow Diagram for each alternative covering the entire analysis period.
Compute the Net Present Worth for Model A? Compute the Net Equivalent Uniform Annual Worth for Model A? Which of these alternatives should be selected?
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts