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The first alternative is to replace the 50-ton chiller, the handler system and its insulation system. The initial costs are as follows: Unit Cost $33,000

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The first alternative is to replace the 50-ton chiller, the handler system and its insulation system. The initial costs are as follows: Unit Cost $33,000 Life 15 years Centrifuge 50 tons Handlers $47,000 30 years Installation work* $1,400 N/A Initial Installation Materials ** $2,500 N/A Insulation system $22,000 N/A *Reduced to 40% of the original cost in case of equipment replacement. ** The cost of replacement materials is also assumed at 40% of the original cost. The maintenance of the centrifuge consists of Maintenance work Personnel Duration Monthly Cost requirements of work salary Cleaning every 6 months 1 technician 1 day $1,550 1 assistant $1,515 1 technician 1/2 day $1,550 Annual water pump maintenance 1 assistant $1,515 Annual visit of the $1,000 manufacturer Replacement of fans 1 technician 1 hour $1,550 $150 every three years 1 assistant $1,515 The maintenance is carried out by personnel of the Refrigeration Workshop attached to the Department of Buildings and Land of the land. The total hours that a regular employee works in the Enclosure is 1,950 hours per year, at a rate of 7.5 hours per day. (They should calculate the cost associated with the time staff spends on maintaining this particular piece of equipment.) The additional costs associated with the operation of the centrifuge are as follows: Cost item Frequency Cost $22,000 Cold Water Pipe Insulation Every 5 years Replacement The costs associated with the electricity consumption of the centrifuge system are as follows: 1. The cost of a 50-ton centrifuge for daily electricity consumption is $150 per day. The cost for electricity consumption of the driver is $ 25 per day. 2. The centrifuge system operates continuously. Assume that the system will operate for 260 business days annually. 1. Perform a present value analysis to select the best alternative 1. Consider that the replacements will be for identical units 2. The equipment has no residual value 3. Analyze a 30-year horizon 4. Consider an interest rate of 6% 3. Consider that the equipment will be acquired by a manufacturing industry. to. Assume that the console system previously analyzed will be used to provide air conditioning in a manufacturing industry. It will be installed in a certain production area that generates an income of $450,000 gross per year. Operating costs are $125,000 annually. Depreciate the console system, in operational state, using the Straight-Line Method and determine the cash flow after taxes. Calculate the internal rate of return before and after taxes. perform the scan only for the first time the computer is installed (first cycle only, depending on the life of the consoles) The first alternative is to replace the 50-ton chiller, the handler system and its insulation system. The initial costs are as follows: Unit Cost $33,000 Life 15 years Centrifuge 50 tons Handlers $47,000 30 years Installation work* $1,400 N/A Initial Installation Materials ** $2,500 N/A Insulation system $22,000 N/A *Reduced to 40% of the original cost in case of equipment replacement. ** The cost of replacement materials is also assumed at 40% of the original cost. The maintenance of the centrifuge consists of Maintenance work Personnel Duration Monthly Cost requirements of work salary Cleaning every 6 months 1 technician 1 day $1,550 1 assistant $1,515 1 technician 1/2 day $1,550 Annual water pump maintenance 1 assistant $1,515 Annual visit of the $1,000 manufacturer Replacement of fans 1 technician 1 hour $1,550 $150 every three years 1 assistant $1,515 The maintenance is carried out by personnel of the Refrigeration Workshop attached to the Department of Buildings and Land of the land. The total hours that a regular employee works in the Enclosure is 1,950 hours per year, at a rate of 7.5 hours per day. (They should calculate the cost associated with the time staff spends on maintaining this particular piece of equipment.) The additional costs associated with the operation of the centrifuge are as follows: Cost item Frequency Cost $22,000 Cold Water Pipe Insulation Every 5 years Replacement The costs associated with the electricity consumption of the centrifuge system are as follows: 1. The cost of a 50-ton centrifuge for daily electricity consumption is $150 per day. The cost for electricity consumption of the driver is $ 25 per day. 2. The centrifuge system operates continuously. Assume that the system will operate for 260 business days annually. 1. Perform a present value analysis to select the best alternative 1. Consider that the replacements will be for identical units 2. The equipment has no residual value 3. Analyze a 30-year horizon 4. Consider an interest rate of 6% 3. Consider that the equipment will be acquired by a manufacturing industry. to. Assume that the console system previously analyzed will be used to provide air conditioning in a manufacturing industry. It will be installed in a certain production area that generates an income of $450,000 gross per year. Operating costs are $125,000 annually. Depreciate the console system, in operational state, using the Straight-Line Method and determine the cash flow after taxes. Calculate the internal rate of return before and after taxes. perform the scan only for the first time the computer is installed (first cycle only, depending on the life of the consoles)

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