LG York Cost and installation, -26,000-30,000 Annical maintenance cost per year -800-300 Salvage value, 2.000 1.000 Electrical power savas per year 25,000 35.000 Useful years 7 10 The spreadsheet below sheet is the one Mohamad used to make the decision. York was the dear choice due to its substantial arger Wetence York AC un were installed MARGE UN 330 LG York Investment Annun Pepa vestment Annual Repair wears and share maintenance Savings und Svate manterancais 0.00 10 30 330.000 SO 750 1509 22. DOO 10 15300 5354000 250 3600 525.000 30 13100 315.000 SO 125 000 30 5300 335,000 230 5800 125.000 10 5300 HBO 510 5030 $2500 10 3300 OOO 610 15300 325.000 30 5100 3d 732.000 S100 2000 TO 500 133 NI 150 1300 535000 91 BO $300 101 $300 5700 S350 AW sement 5800 25,000 $5,139 -1300 35.000 Tot AW 112011 56.050 During a quick review year 4 of operation. It was obvious that the maintenance costs and repair savings have not followed and will not follow the estimates made 4 years ago, in fact, men contract covt is going from 100 this varvar 4 to 51200 per year next year and will then increase 9 per year for the next years. Also, the electrical power savings for the last years were 5313124 Yew 1), 527,565 year 2 330,493 years, and $32.903 years bestas Mohamad can determine. He believes Savings wilderase by $1,500 per year here. Fray, year old Curte worth nothing on the market now, so the salvage is rero, not 53000 01. With these newestimates. What is the AW of the investment and Savage value for YORK AC unit 02. With these newestimate What is the of the investment and Savage wlue for YORK AC unt 03. With these newestimate what is the recalculated AW maintenance cost for the YORK ACT 04. With these newestimates what is the recalculated PW menance cost for the YORK AC units OS: With these new estimates what is the recalculated Total Acost for YORK ACUN 06 With these new estimates wat is the recalculated Total cost for YORK AC 07. With these newestimates what is the recalculated Total PW cost for YORK AC units 08If these estimates had been made 4 years would YORK still have been the economa choice wyrain your ans 09. What is difference in a recovery amount for the YORK Unit with the newest 010 MARRIS changed to for the coming year what will be the Total PW for the final QUESTION 1 10 points Save Ant CASE STUDY ANNUAL WORTH ANALYSIS-THEN AND NOW Background and Information Mohamad, owner of an residential furnished apartments in Dubai, performed an economic analysis 4 years ago when he decided to place an new eefficient central AC unit for each apartments instead of old split units windows type in each room. The estimates used and the annual worth analysis at MARR - 12% are summarized below. Two different AC brands were compared LG York Cost and installations -- 26,000-30,000 Annual maintenance cost. S per year 1-800-300 Salvage value, 2,000 3,000 Electrical power savings, 5 per year 25,000 35,000 Useful life, years 7 10 The spreadsheet in below sheet is the one Mohamad used to make the decision. York was the clear choice due to its substantially larger AW value, hence York AC units were installed The spreadsheet in below sheet is the one Mohamad used to make the decision. York was the clear choice due to its substantially larger AW value. hence York AC units were installed. MARR 12% LG Years Investment land salvage 0 $26,000 150 250 350 Annual maintenance 50 $800 5800 $800 $800 $800 $800 $800 430 York Annual Repair maintenance Savings 150 $0 $300 535,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 -$300 $35,000 $300 $35,000 $300 $35,000 $29,561.43 Repair Investment savings and salvage 50 $30,000 $25,000 50 $25,000 50 $25,000 $25,000 $0 $25,000 $0 $25,000 50 $25,000 $0 so so $3,000 $25,000 $5,139 $18,701.17 550 650 7 $2.000 8 9 10 56,068 5800 AW element Total AW During a quick review (year 4 of operation), it was obvious that the maintenance costs and repair savings have not followed (and will not follow) the estimates made 4 years ago. In fact, the maintenance contract cost is going from $300 this year (year 4) to $1200 per year next year and will then increase 9% per year for the next 6 years. Also, the electrical power savings for the last 4 years were $31,312 ( year 1). $27,565 ( year 21, $30,493( year3), and $32.903( year4), as best as Mohamad can determine. He believes savings will decrease by $1,500 per year hereafter. Finally, these 4-year-old AC units are worth nothing on the market now, so the salvage is zero, not $3000. Q1 - With these new estimates, What is the AW of the Investment and Salvage value for YORK AC unit? Q2. With these new estimates, What is the FW of the Investment and Salvage value for YORK AC unit? Q3. With these new estimates, what is the recalculated Aw maintenance cost for the YORK AC units? Q4 - With these new estimates, what is the recalculated PW maintenance cost for the YORK AC units? Q5. With these new estimates, what is the recalculated Total Aw cost for YORK AC units. Q6. With these new estimates, what is the recalculated Total FW cost for YORK AC units. Q7. With these new estimates, what is the recalculated Total PW cost for YORK AC units. Q8 If these estimates had been made 4 years ago, would YORK still have been the economic choice, why explain your answer 09. What is difference in capital recovery amount for the YORK units with these new estimates? Q10 If MARR is changed to 8% for the upcoming 6 years what will be the Total PW for the YORK units? LG York Cost and installation, -26,000-30,000 Annical maintenance cost per year -800-300 Salvage value, 2.000 1.000 Electrical power savas per year 25,000 35.000 Useful years 7 10 The spreadsheet below sheet is the one Mohamad used to make the decision. York was the dear choice due to its substantial arger Wetence York AC un were installed MARGE UN 330 LG York Investment Annun Pepa vestment Annual Repair wears and share maintenance Savings und Svate manterancais 0.00 10 30 330.000 SO 750 1509 22. DOO 10 15300 5354000 250 3600 525.000 30 13100 315.000 SO 125 000 30 5300 335,000 230 5800 125.000 10 5300 HBO 510 5030 $2500 10 3300 OOO 610 15300 325.000 30 5100 3d 732.000 S100 2000 TO 500 133 NI 150 1300 535000 91 BO $300 101 $300 5700 S350 AW sement 5800 25,000 $5,139 -1300 35.000 Tot AW 112011 56.050 During a quick review year 4 of operation. It was obvious that the maintenance costs and repair savings have not followed and will not follow the estimates made 4 years ago, in fact, men contract covt is going from 100 this varvar 4 to 51200 per year next year and will then increase 9 per year for the next years. Also, the electrical power savings for the last years were 5313124 Yew 1), 527,565 year 2 330,493 years, and $32.903 years bestas Mohamad can determine. He believes Savings wilderase by $1,500 per year here. Fray, year old Curte worth nothing on the market now, so the salvage is rero, not 53000 01. With these newestimates. What is the AW of the investment and Savage value for YORK AC unit 02. With these newestimate What is the of the investment and Savage wlue for YORK AC unt 03. With these newestimate what is the recalculated AW maintenance cost for the YORK ACT 04. With these newestimates what is the recalculated PW menance cost for the YORK AC units OS: With these new estimates what is the recalculated Total Acost for YORK ACUN 06 With these new estimates wat is the recalculated Total cost for YORK AC 07. With these newestimates what is the recalculated Total PW cost for YORK AC units 08If these estimates had been made 4 years would YORK still have been the economa choice wyrain your ans 09. What is difference in a recovery amount for the YORK Unit with the newest 010 MARRIS changed to for the coming year what will be the Total PW for the final QUESTION 1 10 points Save Ant CASE STUDY ANNUAL WORTH ANALYSIS-THEN AND NOW Background and Information Mohamad, owner of an residential furnished apartments in Dubai, performed an economic analysis 4 years ago when he decided to place an new eefficient central AC unit for each apartments instead of old split units windows type in each room. The estimates used and the annual worth analysis at MARR - 12% are summarized below. Two different AC brands were compared LG York Cost and installations -- 26,000-30,000 Annual maintenance cost. S per year 1-800-300 Salvage value, 2,000 3,000 Electrical power savings, 5 per year 25,000 35,000 Useful life, years 7 10 The spreadsheet in below sheet is the one Mohamad used to make the decision. York was the clear choice due to its substantially larger AW value, hence York AC units were installed The spreadsheet in below sheet is the one Mohamad used to make the decision. York was the clear choice due to its substantially larger AW value. hence York AC units were installed. MARR 12% LG Years Investment land salvage 0 $26,000 150 250 350 Annual maintenance 50 $800 5800 $800 $800 $800 $800 $800 430 York Annual Repair maintenance Savings 150 $0 $300 535,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 $300 $35,000 -$300 $35,000 $300 $35,000 $300 $35,000 $29,561.43 Repair Investment savings and salvage 50 $30,000 $25,000 50 $25,000 50 $25,000 $25,000 $0 $25,000 $0 $25,000 50 $25,000 $0 so so $3,000 $25,000 $5,139 $18,701.17 550 650 7 $2.000 8 9 10 56,068 5800 AW element Total AW During a quick review (year 4 of operation), it was obvious that the maintenance costs and repair savings have not followed (and will not follow) the estimates made 4 years ago. In fact, the maintenance contract cost is going from $300 this year (year 4) to $1200 per year next year and will then increase 9% per year for the next 6 years. Also, the electrical power savings for the last 4 years were $31,312 ( year 1). $27,565 ( year 21, $30,493( year3), and $32.903( year4), as best as Mohamad can determine. He believes savings will decrease by $1,500 per year hereafter. Finally, these 4-year-old AC units are worth nothing on the market now, so the salvage is zero, not $3000. Q1 - With these new estimates, What is the AW of the Investment and Salvage value for YORK AC unit? Q2. With these new estimates, What is the FW of the Investment and Salvage value for YORK AC unit? Q3. With these new estimates, what is the recalculated Aw maintenance cost for the YORK AC units? Q4 - With these new estimates, what is the recalculated PW maintenance cost for the YORK AC units? Q5. With these new estimates, what is the recalculated Total Aw cost for YORK AC units. Q6. With these new estimates, what is the recalculated Total FW cost for YORK AC units. Q7. With these new estimates, what is the recalculated Total PW cost for YORK AC units. Q8 If these estimates had been made 4 years ago, would YORK still have been the economic choice, why explain your answer 09. What is difference in capital recovery amount for the YORK units with these new estimates? Q10 If MARR is changed to 8% for the upcoming 6 years what will be the Total PW for the YORK units