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Q9 Your manager believes that a new furnace would be cheaper # when considering the power usage over the next 25 years. The furnances #

Q9 Your manager believes that a new furnace would be cheaper # when considering the power usage over the next 25 years. The furnances # always run for 8 hours every day of the year (365 days). # # The cost of a new furnace is $7,000. It will use 15 kWhrs / run. # The cost of energy is $0.25 / kilowatt-hour. # # Determine whether a new furnace should be purchased if the furnace # continues to follow its current trend regarding power usage. # # Step 1: Determine how many kilowatt hours the new furnace will use # over the next 15 years. # # Step 2: Determine how many killowatt hours the old furnace will use # over the next 15 years. You can use your previous answer to determine # the slope and intercept if needed. # # Step 3: Determine the difference in cost between running the two # furnaces. # # Does this justify purchasing a new furnace (y/n/"too close to say")?

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