Question
There are two electric motors that can provide 100 hp. Alpha motor can be purchased at $1,700 and has an efficiency of 80%, an estimated
There are two electric motors that can provide 100 hp. Alpha motor can be purchased at $1,700 and has an efficiency of 80%, an estimated life of 10 years, and estimated maintenance costs of $50/year. Beta Motor will cost $1,400 and has an efficiency of 75%, life of 12 years and maintenance cost of $25/year. Assume that the company internal rate of return is 11%. Perform a Breakeven analysis to find out at what hours of operations the two motor costs are the same. Assume an electricity rate of $0.048 per kilowatt hour. Please plot your results.
(I calculated the break even point, quite not sure how to plot the result. Could you only plot the results for this question, and also provide formulas how it id plotted)
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