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.
 FIGURE 1.png)
Use PW values for B and C
CConv = $200,000
CSolar = 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
Select conventional; solar is not justified
You might also like to view...
Mums are short-day plants
Indicate whether the statement is true or false
The procedures for multi-piece rims are being discussed.Technician A says that a tire can be inflated while it ison a piece of heavy equipment if the air pressure did not fall below 80 percent of its recommended value. Technician B says that if the tire is to be filled/inflated while off the equipment, you must use a restraining device. Who is correct?
A. Technician A B. Technician B C. Both D. Neither
Motors that sit on resilient rubber rings typically use which type of mounting?
A) Cradle mount B) Flange mount C) Stud mount D) Belly band
Indicate why design rules must be followed after a preliminary choice is made of both process and material
What will be an ideal response?