any help would be great (Engineering econ)
Engineering Economics (1) Homework: Chapter 6- Comparison of Alternatives Save 1 of 8 (0 complete) HW Score: 0%, 0 of 8 pts Score: 0 of 1 pt Question Help Problem 6-5 (book/static) Your company is environmentally conscious and is considering two heating options for a new research building. What you know about each option is below, and your company will use an annual interest rate (MARR) of 8% for this decision. Which is the lower cost option for the company? Click the icon to view the additional information about the options. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 5% per year. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 8 % per year. The PW of the Gas Heating Option is $(Round to the nearest dollar.) Gas Heating Option: The initial equipment and installment of the natural gas system would cost $225,000 right now. The maintenance costs of the equipment are expected to be $2,000 per year, starting next year, for each of the next 20 years. The energy cost is expected to be $5,000 starting next year and is expected to rise by 5% per year for each of the next 20 years due to the price of natural gas increasing. Geothermal Heating Option: Because of green energy incentives provided by the government, the geothermal equipment and installation are expected to cost only $200,000 right now, which is cheaper than the gas lines. There would be no energy cost with geothermal, but because this is a relatively newer technology the maintenance is expected to be $10,000 per year, staring next year, for each of the next 20 years. Print Done parts remaining I HW Score: 0%, O 1 of 8 (0 complete) More Info 1.3401 0.7462 6 6.8019 5.0757 0.1470 0.1970 11.9680 2.3579 0.7107 7 1.4071 8.1420 5.7864 0.1228 0.1728 16.2321 2.8052 1.4775 0.6768 8 9.5491 11.0266 6.4632 0.1047 0.1547 20.9700 3.2445 1.5513 0.6446 7.1078 0.0907 0.0795 0.1407 26.1268 3.6758 0.6139 10 1.6289 12.5779 7.7217 0.1295 31.6520 4.0991 11 1.7103 0.5847 14.2068 8.3064 0.0704 0.1204 37.4988 4.5144 12 1.7959 0.5568 15.9171 8.8633 0.0628 0.1128 43.6241 4.9219 13 1.8856 0.5303 17.7130 9.3936 0.0565 0.1065 49.9879 5.3215 1.9799 14 0.5051 19.5986 9.8986 0.0510 0.1010 56.5538 5.7133 2.0789 15 0.4810 21.5786 10.3797 0.0463 63.2880 0.0963 6.0973 16 2.1829 0.4581 23.6575 10.8378 0.0423 0.0923 70.1597 6.4736 2.2920 0.4363 25.8404 11.2741 0.0387 0.0887 77.1405 6.8423 18 2.4066 2.5270 0.4155 28.1324 11.6896 0.0355 0.0855 84.2043 7.2034 19 0.3957 30.5390 12.0853 0.0327 0.0827 91.3275 7.5569 2.6533 0.3769 33.0660 12.4622 0.0302 0.0802 98.4884 7.9030 Print Done 13 Discrete Compounding; i=5% Single Payment Uniform Series Uniform Gradient Gradient Gradient Present Worth Compound Amount Factor Present Worth Factor Compound Amount Factor Present Sinking Fund Factor Capital Recovery Factor Uniform Worth Series Factor Factor Factor To Find F Given P F/P To Find P Given F To Find F Given A To Find P To Find A Given F A/F To Find A Given P To Find P Given G P/G To Find A Given G Given A P/F F/A P/A A/P A/G 1 1.0500 0.9524 1.0000 1.0500 0.9524 1.0000 0.0000 0.0000 2 1.1025 0.9070 2.0500 1.8594 0.4878 0.3172 0.5378 0.9070 0.4878 0.9675 3 1.1576 0.8638 3.1525 2.7232 0.3672 2.6347 4 1.2155 0.8227 4.3101 3.5460 4.3295 0.2320 0.2820 5.1028 8.2369 1.4391 5 1.2763 0.7835 5.5256 0.1810 0.2310 1.9025 6 1.3401 1.4071 0.7462 0.7107 6.8019 5.0757 0.1470 0.1970 2.3579 2.8052 11.9680 7 8.1420 5.7864 0.1228 0.1728 16.2321 Print Done
