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Renewal Technologies Inc (RTI) produces digesters and the necessary connections for the use in electrical generation using the methanol generated by the Digesters. RTI engineers

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Renewal Technologies Inc (RTI) produces digesters and the necessary connections for the use in electrical generation using the methanol generated by the Digesters. RTI engineers and designers has created a prototype semi submerged tank with attachments system. The information for the Digester System is shown below. The first unit is kept on display. A finished System carries a 25% mark up on variable cost. It is believed that the learning effect is valid only for the first 20 units. All units thereafter take the same time per unit as the 20th unit Required Determine the total cost to the BAMC for an initial order of 30 Systems as part of a pilot project. (10 Marks)

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