ENG106-W12_Final_solution

# ENG106-W12_Final_solution - PW =-6 3 4 = 5 AEC = 511 = 5(k\$...

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ENG 106 - Winter 12 Final Name: 7. Henry is helping the National Park Service (NPS) evaluate setting up remote weather stations to monitor the weather. Each station will cost 6 k\$ and assume the technology will be around for some time so that repeatability is an option. In order to determine the economic service life of each station calculate the Aimual Equivalent Costs for the first two years. The NPS discount factor is 0% and taxes are not a consideration. (20 pts) Savage Value (k\$) 1 Eoy 1 Operating cost (ks) 1 if sold EOY Hold asset for 1 year:
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Unformatted text preview: PW, = -6- 3 + 4 = - 5, AEC, = 511 = 5 (k\$) per year Hold asset for 2 years: PW2 = -6 - 3 - 3.5 + 3 = -9.5, AEC2 = 9.512 = 4.75 (k\$) per year PW CPW -6.0 1.0 -\$5.0 -\$5.00 -\$9.5 -\$4.75 -6.0 -3.0 -0.5 ENG 106 - Winter 12 Final Name: Notes on problem 7. Recall P = A ( 1 + i ) l + A ( 1 + i)2 + A ( 1 + i ) 3 . . . + A ( 1 + i)" P = A (1)' + A ( I ) ~ + A ( I ) ~ + A (l)n = nA Leslie Claar also provided us with an application to L'Hopital's rule on (NP, i, n) i ( ~ + i ) ~ 0 = - indeterminant m i [ l + i n - J 0 L'Hopital's rule...
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## This note was uploaded on 04/03/2012 for the course ENGIN 106 taught by Professor Fizali during the Spring '12 term at Laney College.

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ENG106-W12_Final_solution - PW =-6 3 4 = 5 AEC = 511 = 5(k\$...

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