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Just need the answer to compare A city water and waste-water department has a four-year-old sludge pump that was initially purchased for $65,000. This pump
Just need the answer to compare
A city water and waste-water department has a four-year-old sludge pump that was initially purchased for $65,000. This pump can be kept in service for an additional four years, or it can be sold for $34,500 and replaced by a new pump. The purchase price of the replacement pump is $48,000. The projected MVs and operating and maintenance costs over the four-year planning horizon are shown in the table that follows. Assuming the MARR is 10%, (a) determine the economic life of the challenger and (b) determine when the defender should be replaced. Defender Challenger Year MV at EOY O&M Costs MV at EOY O&M Costs $27,000 $17,500 $41,500 $13500 23,500 20,500 33,000 16,500 20,000 23,500 24,500 19,500 16,500 26,500 16,000 22,500 Click the icon to view the interest and annuity table for discrete compounding when the MARR is 10% per year. 5 a. The economic life of the challenger is year(s). (Round to the nearest whole number.) b. The defender should be replaced 0 More Info Discrete Compounding; i = 10% Single Payment Uniform Series Compound Compound Sinking Amount Present Amount Present Fund Factor Worth Factor Factor Worth Factor Factor To Find F To Find P To Find F To Find P To Find A Given P Given F Given A Given A Given A Given F FIP PIF FIA PIA AIF 1.1000 0.9091 1.0000 0.9091 1.0000 1.2100 0.8264 2.1000 1.7355 0.4762 1.3310 0.7513 3.3100 2.4869 0.3021 1.4641 0.6830 4.6410 3.1699 0.2155 1.6105 0.6209 6.1051 3.7908 0.1638 Capital Recovery Factor To Find A Given P AIP 1.1000 0.5762 0.4021 0.3155 0.2638 Enter your answer in the answeStep by Step Solution
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