Solar and conventional power alternatives are available to provide energy for monitoring equipment at a remote irrigation canal site. The estimates associated with each alternative have been developed. Use the B/C method to select one at an interest rate of 7% per year over a 5-year study period. One of the alternatives must be selected.
What will be an ideal response?
Use PW values for B and C
C Conv = $200,000
C Solar = 1,300,000 – 150,000(P/F,7%,5)
= 1,300,000 – 150,000(0.7130)
= $1,193,050
Solar has the larger total cost
?C = 1,193,050 – 200,000
= $993,050
?B = (80,000 – 9000)(P/A,7%,5)
= 71,000(4.1002)
= $291,114
.
?B/C = 291,114/993,050
= 0.29
You might also like to view...
During light acceleration, the Toyota power-split system motor/generator 1 (MG1) is ________.
A) Disconnected B) Locked in place C) Turning forward D) Turning backwards
One reason people join groups is interpersonal attraction. Factors that might contribute to
this interpersonal attraction include all the following except
a. physical proximity to group members. b. compatible personalities. c. the activities carried out by the group members. d. increased interaction. e. similarity of attitudes with group members.
When the dry-bulb and wet-bulb temperatures are the same, the relative humidity of the air is ____________________%.
Fill in the blank(s) with the appropriate word(s).
With excellent nutrition and management, many sheep breeders can successfully breed
ewe lambs during their first year. A. True B. False