Question
1-The cost of purchasing a VOC thermal incinerator for a given application was $200,000 in March 2010. Estimate the installed cost of the same piece
1-The cost of purchasing a VOC thermal incinerator for a given application was $200,000 in March 2010. Estimate the installed cost of the same piece of equipment in June 2015. Assume that no special building or site preparation is required. Use the equipment component of the CE index to update costs.
2- Because of the material incinerated in Problem 1, the ash produced constitutes a hazardous waste. An offsite facility is required to process it; the capital investment needed is $100,000 in June 2010. Land must be purchased at a cost of $26,000. A working capital of $30,000 is required for the incinerator.
(a) Calculate the depreciable investment for the combined facilities.
(b) Calculate the non-depreciable investment.
(c) Calculate the Total Capital Investment (CPI) required.
3- The cost of felted Teflon bags for use in pulse-jet fabric filters was $120.40/m2 in September 2010. Estimate their cost in May 2015 using an appropriate cost index.
(all there requirement you can find them online)
TABLE 8. NEW CE PLANT COSTINDEXES: JANUARY SEPT. 2001 Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sept Index/ Month Cost 395.4 393.6 394.4 393.2 393.8 393.9 3938 394.2 393.7 CE Plant 439.6 437.0 437.7 437.7 436.5 436.5 436.8 436.8 436.1 Equipment Heat exchangers 367.7 365.6 365.7 360.3 361.3 361.3 363.6 363.0 364.6 and tanks Process machinery 441.6 441.1 442.1 441.5 442.1 443.3 442.6 440.9 431. Pipes, valves 551.2 544.1 545.8 551.6 549.0 547.8 547.0 540.4 542.4 and fittings Process instruments 368.1 365.8 365.8 364.5 363.8 362.9 361.0 360.2 357.1 Pumps and 672.6 670.3 673.0 673.3 675.8 674.0 673.3 693.1 695.3 Compressors Electrical equipment 340.2 340.8 341.7 342.1 342.6 342.0 341.8 341.1 341.1 Structural supports 416.3 414.2 414.3 413.4 413.6 415.9 415.7 415.8 416.6 and misc Construction labor 300.6 300.0 301.1 299.1 300.8 301.5 301.2 305.3 304.7 385.4 385.6 385.6 385.2 389.1 389.1 386.6 387.8 387.4 Buildings Engineering 341.3 341.1 342.5 343.7 343.4 342.8 342.2 342.2 341.5 and supervision The index values for this month are preliminary TABLE 9. COMPARISON OF CE PLANT COSTINDEXES:JAN-SEPT. 2001 Month CEInde Equipment Const. Labor Buildings Engr.and Supv revised older revised older revised older revised older revised older Jan 395.4 395.4 439.6 439.6 300.6 300.6 385.4 385.4 341.3 34 1.3 Feb. 393.6 395.1 437.0 438.8 300.0 301.4 385.6 385 7 341 1 341.0 Mar. 394.4 394.3 437.7 438.1 301.1 300.0 385.6 383.9 342.5 341.7 May 393.8 395.4 436.5 439.7 300.8 299.8 389.1 386.6 343.4 3 42.0 June 393.9 395.1 436.5 439.0 301.5 300.2 389.1 386.2 342.8 341.7 July (P) 393.8 395.3 436.8 439.1 301.2 301.6 386.6 385.2 342.2 341.5 Aug. (P) 394.2 396.3 436.1 439.7 305.3 303.9 387.8 386.7 342.2 342. Sept. (P) 393.7 396.8 435.7 439.9 304.7 305.4 387.4 387.4 341.5 341.8Step by Step Solution
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The Board Of Directors And Audit Committee Guide To Fiduciary Responsibilities Ten Critical Steps To Protecting Yourself And Your Organization
Authors: Sheila Moran CPA CFE, Ronald Kral CPA CMA
1st Edition
0814431666, 978-0814431665
