Score: 0 of 1 pt 4 of 42 completel HW Score: 41.67% 1.67 of 4 Problem 7-40 (algorithmic) Question Help Individual industries will use energy as efficiently as it is economical to do so, and there are several incentives to improve the efficiency of energy consumption. To ilustrato, consider the selection of a new water pump The pump is to operate 100 hours per year Pump Acosts $2,000, has an overall efficiency of 80 93% and delivers 10 8 ho. The other available alternative pump costs $900, has an overall oleney of 43 20% and delvers 11hp Both pumps have a useful ite of five years and will be sold at that time (Remember 10.746 kW) Pump A wise SL depreciation over five years with an estimated SV of zero. Pump will be the MACRS depreciation method with a classife of three years. After five years pump A has an actual market value of $420, and pump has an actual market value of $190 Using the IRR method on the after-tax cash flows and as before I MARR 15%, is the incremental investment in pump A economically justable? The effective income tax rate is 30%. The cost of electricity is $0 W, and the pumps are subject to a Maty period of five years Click the icon to view e GS Recovery Rates s) for the 3-year property class The IRR of the incrementat investment in Round to one decimat place) Erder your answer in the answer box and then click Check Answer 1 port remaining Clear A 7 Homework 4 of 4 (2 complete) tly as it is economical to do so, and there are several incentives to improve the efficiency of energy consumption. ump A costs $2,000, has an overall efficiency of 80.93%, and it delivers 10.8 hp. The other available alternative, pu ul life of five years and will be sold at that time. (Remember 1 hp = 0.746 kW.) us with an estimated SV of zero. Pump B will use the MACRS depreciation method with a class life of three years. of $190 Ows and a before-tax MARR of 15%, is the incremental investment in pump A economically justifiable? The effective mudy period of five vears. Rates (r) for the * More Info X %. (Round to one GDS Recovery Rates (r) Year 3-year Property Class 1 0.3333 0.4445 0.1481 0.0741 AN Print Done then click Check Answer. Clear All Score: 0 of 1 pt 4 of 42 completel HW Score: 41.67% 1.67 of 4 Problem 7-40 (algorithmic) Question Help Individual industries will use energy as efficiently as it is economical to do so, and there are several incentives to improve the efficiency of energy consumption. To ilustrato, consider the selection of a new water pump The pump is to operate 100 hours per year Pump Acosts $2,000, has an overall efficiency of 80 93% and delivers 10 8 ho. The other available alternative pump costs $900, has an overall oleney of 43 20% and delvers 11hp Both pumps have a useful ite of five years and will be sold at that time (Remember 10.746 kW) Pump A wise SL depreciation over five years with an estimated SV of zero. Pump will be the MACRS depreciation method with a classife of three years. After five years pump A has an actual market value of $420, and pump has an actual market value of $190 Using the IRR method on the after-tax cash flows and as before I MARR 15%, is the incremental investment in pump A economically justable? The effective income tax rate is 30%. The cost of electricity is $0 W, and the pumps are subject to a Maty period of five years Click the icon to view e GS Recovery Rates s) for the 3-year property class The IRR of the incrementat investment in Round to one decimat place) Erder your answer in the answer box and then click Check Answer 1 port remaining Clear A 7 Homework 4 of 4 (2 complete) tly as it is economical to do so, and there are several incentives to improve the efficiency of energy consumption. ump A costs $2,000, has an overall efficiency of 80.93%, and it delivers 10.8 hp. The other available alternative, pu ul life of five years and will be sold at that time. (Remember 1 hp = 0.746 kW.) us with an estimated SV of zero. Pump B will use the MACRS depreciation method with a class life of three years. of $190 Ows and a before-tax MARR of 15%, is the incremental investment in pump A economically justifiable? The effective mudy period of five vears. Rates (r) for the * More Info X %. (Round to one GDS Recovery Rates (r) Year 3-year Property Class 1 0.3333 0.4445 0.1481 0.0741 AN Print Done then click Check Answer. Clear All