Questions from Engineering

Q: For the cash flows shown, calculate the equivalent annual worth in

For the cash flows shown, calculate the equivalent annual worth in years 1 through 4 at an interest rate of 10% per year.

Q: Industrial Electric Services has a contract with an Embassy in Mexico to

Industrial Electric Services has a contract with an Embassy in Mexico to provide maintenance for scanners and other devices in the building. What is the present worth of the contract (in year 0) if th...

Q: Nippon Steel’s expenses for heating and cooling a large manufacturing facility are

Nippon Steel’s expenses for heating and cooling a large manufacturing facility are expected to increase according to an arithmetic gradient beginning in year 2. If the cost is $550,000 this year (year...

Q: A software company that installs systems for inventory control using RFID technology

A software company that installs systems for inventory control using RFID technology spent $600,000 per year for the past 3 years in developing their latest product. The company optimistically hopes t...

Q: RKI Instruments borrowed $4,800,000 from a private

RKI Instruments borrowed $4,800,000 from a private equity firm for expansion of its facility for manufacturing carbon monoxide monitors. The company repaid the loan after 1 year with a single payment...

Q: Calculate the present worth of all costs for a newly acquired machine

Calculate the present worth of all costs for a newly acquired machine with an initial cost of $29,000, no trade-in value, a life of 10 years, and an annual operating cost of $13,000 for the first 4 ye...

Q: Dakota Hi-C Steel signed a contract that will generate revenue

Dakota Hi-C Steel signed a contract that will generate revenue of $210,000 now, $226,800 in year 1, and amounts increasing by 8% per year through year 5. Calculate the future worth of the contract at...

Q: Wrangler Western has some of its jeans stonewashed under a contract with

Wrangler Western has some of its jeans stonewashed under a contract with an independent contractor, Almos Garment Corp. If Almos’ operating cost is $22,000 per year for years 1 and 2 and then it incre...

Q: Civil Engineering consulting firms that provide services to outlying communities are vulnerable

Civil Engineering consulting firms that provide services to outlying communities are vulnerable to a number of factors that affect the financial condition of the communities, such as bond issues, real...

Q: Find the present worth at time 0 of the chrome plating costs

Find the present worth at time 0 of the chrome plating costs shown in the cash flow diagram. Assume i = 10% per year.