Please answer the following questions below and write the answers as well as the steps neatly!. I will give a thumbs up right away thank you!! An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $30,000 the first year, but process improvements will allow the annualcost to decline by $3,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $15,200 and an annual fixed price of $13,200/year throughout the 10 year period. Either way, there is noneed to treat the wastes after 10 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 10%.Click the icon to view the interest and annuity table for discrete compounding when the MARR is 10% per year.The EUAC for in-house treatment is $The EUAC for outside treatment is $The most economical alternative isA. in-house treatmentB. outside treatment(Round to the nearest dollar as positive cash flow.)(Round to the nearest dollar as positive cash flow.)

Given In-house treatmentOuthouse treatmentFirst cost (n=0)0$15,200Cost in year 1$30,000$13,200 Cost…

Answered: An oil refinery finds that it is…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Handheld fiber-optic meters with white light polarization interferometry are useful for measuring temperature, pressure, and strain in electrically noisy environments. The fixed costs associated with manufacturing are $800,000 per year. If a base unit sells for $2950 and its variable cost is $2075, (a ) how many units must be sold each year for breakeven? (b ) what will the profit be for sales of 3000 units per year?
← An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. The treatment will cost $40,000 the first year, but process improvements will allow the costs to decline by $4,000 each year. As an alternative, an outside company will process the wastes for the fixed price of $20,000/year throughout the 8 year period, payable at the beginning of each year. Either way, there is no need to treat the wastes after 8 years. Use the annual worth method to determine how the wastes should be processed. The company's MARR is 13%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 13% per year. www
Handheld fiber optic meters with white light polarization interferometry are useful for measuring temperature, pressure, and strain in electrically noisy environments. The fixed costs associated with manufacturing are $800,000 per year. If variable costs are $290 per unit and the company sells 4000 units per year, at what selling price per unit will the company break even?
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. The treatment will cost $20,000 the first year, but process improvements will allow the costs to decline by $2,000 each year. As an alternative, an outside company will process the wastes for the fixed price of $10,000/year throughout the 7 year period, payable at the beginning of each year. Either way, there is no need to treat the wastes after 7 years. Use the annual worth method to determine how the wastes should be processed. The company's MARR is 14%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 14% per year. The AW of the in-house treatment is $ (Round to the nearest dollar.)
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $20,000 the first year, but process improvements will allow the annual cost to decline by $2,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $8,600 and an annual fixed price of $6,600/year throughout the 14 year period. Either way, there is no need to treat the wastes after 14 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 8%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8% per year. The EUAC for in-house treatment is $ cash flow.) The EUAC for outside treatment is $ cash flow.) The most economical alternative is OA. in-house treatment B. outside treatment (Round to the nearest…
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. The treatment will cost $30,000 the first year, but process improvements will allow the costs to decline by $3,000 each year. As an alternative, an outside company will process the wastes for the fixed price of $15,000/year throughout the 10 year period, payable at the beginning of each year. Either way, there is no need to treat the wastes after 10 years. Use the annual worth method to determine how the wastes should be processed. The company's MARR is 6%.
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An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $50,000 the first year, but process improvements will allow the annual cost to decline by $5,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $32,400 and an annual fixed price of $30,400/year throughout the 13 year period. Either way, there is no need to treat the wastes after 13 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 8%. LOADING... Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8% per year.
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $50,000 the first year, but process improvements will allow the annual cost to decline by $5,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $24,500 and an annual fixed price of $22,500/year throughout the 10 year period. Either way, there is no need to treat the wastes after 10 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 12%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 12per year. The EUAC for in-house treatment is $. (Round to the nearest dollar as positive cash flow.) The EUAC for outside treatment is $. (Round to the nearest dollar as positive cash flow.) The most…
Ecology group wishes to purchase a piece of equipment for recycling of various metals. Machine 1 costs $300000, has a tife of 10 years, an annual cost of $30000, and requires one operator at a cost of $72 per hour. It can process 10 tons per hour. Machine 2 costs $180000, has a life of 6 years, an annual cost of $15000, and requires two operators at a cost of $72 per hour each to process 6 tons per hour. Determine the annual breakeven tonnage of scrap metal at i=10% per year.
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $20,000 the first year, but process improvements will allow the annual cost to decline by $2,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $16,700 and an annual fixed price of $14,700/year throughout the 10 year period. Either way, there is no need to treat the wastes after 10 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 8%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8% per year. The EUAC for in-house treatment is $ (Round to the nearest dollar as positive cash flow.) The EUAC for outside treatment is $(Round to the nearest dollar as positive cash flow.) The most economical…
An oil refinery finds that it is necessary to treat the waste liquids from a new process before discharging them into a stream. In-house treatment will have an annual cost of $20,000 the first year, but process improvements will allow the annual cost to decline by $2,000 each subsequent year. As an alternative, an outside company will process the wastes for an initial cost of $13,300 and an annual fixed price of $11,300/year throughout the 15 year period. Either way, there is no need to treat the wastes after 15 years. Using the AW method, calculate the equivalent uniform annual cost (EUAC) of each alternative and determine how the waste should be processed. The company's MARR is 10%. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 10per year. The EUAC for in-house treatment is $ as positive cash flow.) The EUAC for outside treatment is $ as positive cash flow.) The most economical alternative is A. in-house treatment B. outside treatment…

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