Question: Virgin Galactic is considering two materials for certain parts in a re-useable space vehicle: carbon fiber reinforced plastic (CFRP) and fiber reinforced ceramic (FRC). The

Virgin Galactic is considering two materials for certain parts in a re-useable space vehicle: carbon fiber reinforced plastic (CFRP) and fiber reinforced ceramic (FRC). The costs are shown below. The MARR is 10 % per year

CFRP

FRC

Initial cost, $

-205,000

-235,000

Maintenance cost, $/year

-29000

-27000

Salvage value, $

2000

20000

Estimated life, years

3

4

What is the Least Common Multiple (LCM) of these two estimated life Draw the cash flow diagram for the LCM analysis Select from the two materials using the Least Common Multiple (LCM) Analysis

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