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2nd picture is an example Suppose you have $3M value of cash in your saving account. You have following options as a potential project to
2nd picture is an example
Suppose you have $3M value of cash in your saving account. You have following options as a potential project to be selected. Based on your interest, and using what you have learned in Engineering Economy course, select one project to invest in and provide a complete report: 1- Stablishing a McDonald Franchise 2- Stablishing a Mechanic Shop Assume the investment time for the project is N=20 years. Research for other variables such as interest rate, MARR, interest compounding period, Payment period, etc. Build corresponding cash flow for the project, evaluate the project, and see how much you will have at the end of 20th years. X=1200000 Chosen Project: Buying investment (rental) properties, renting out 1- Buy 8 houses from zillow.com (8*130000=1040000) 2- Remind money: 1200000-1040000-$160000 3- Initial monthly repair and maintenance costs for 3 months: $16000/months 4- Rent the houses: assume after the maintenance is completed, two houses will be rented every months 5- Assume $1200/month rent. Reference: Zillow.com 6- Monthly grass cut 7- Annually repair cost for each house (e.g., $2000/year/per house) 8- **** 9- *** 10- 11- 12- Suppose you have $3M value of cash in your saving account. You have following options as a potential project to be selected. Based on your interest, and using what you have learned in Engineering Economy course, select one project to invest in and provide a complete report: 1- Stablishing a McDonald Franchise 2- Stablishing a Mechanic Shop Assume the investment time for the project is N=20 years. Research for other variables such as interest rate, MARR, interest compounding period, Payment period, etc. Build corresponding cash flow for the project, evaluate the project, and see how much you will have at the end of 20th years. X=1200000 Chosen Project: Buying investment (rental) properties, renting out 1- Buy 8 houses from zillow.com (8*130000=1040000) 2- Remind money: 1200000-1040000-$160000 3- Initial monthly repair and maintenance costs for 3 months: $16000/months 4- Rent the houses: assume after the maintenance is completed, two houses will be rented every months 5- Assume $1200/month rent. Reference: Zillow.com 6- Monthly grass cut 7- Annually repair cost for each house (e.g., $2000/year/per house) 8- **** 9- *** 10- 11- 12 Step by Step Solution
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