A large induced-draft fan is needed for an upgraded industrial process. The motor to drive this fan

Question:

A large induced-draft fan is needed for an upgraded industrial process. The motor to drive this fan is rated at 100 horsepower, and the motor will operate at full load for 8,760 hours per year. The motor's efficiency is 90%. Because the motor is fairly large, a demand charge of $90 per kilowatt per year will be incurred in addition to an energy charge of $0.08 per kilowatt-hour. If the installed cost of the motor is $3,500, what is the present worth of the motor over a 10-year J period when the is 15% per year?
MARR
Minimum Acceptable Rate of Return (MARR), or hurdle rate is the minimum rate of return on a project a manager or company is willing to accept before starting a project, given its risk and the opportunity cost of forgoing other...