682 Chapter 20 Engineering Economics
20.25.Your future company has purchased a machine and has
entered into a contract that requires the company to
pay $2000 each year for the upgrade of machine com-
ponents at the end of years 6, 7, and 8. In anticipation
of the upgrade cost, your company has decided to
deposit equal amounts (X) at the end of each year for
five years in a row in an account that pays i6%. The
first deposit is made at the end of the first year. What
is the value of X?
20.26.Your car loan payment extends for six years at 8% inter-
est compounded monthly. After how many months do
you pay off half of your loan?20.27.What are the equivalent annual worth and future
worth of the cash flow given in Problem 20.15?
Assume i8%.
20.28.What are the equivalent present worth and annual
worth of the cash flow given in Problem 20.16?
Assume i8%.
20.29.What are the equivalent present worth and future
worth of the cash flow given in Problem 20.17?
Assume i8%.
20.30.The cash flow given in Problem 20.18 is to be replaced
by an equivalent cash flow with equal amounts (X) at the
end of years 6, 7, 8, 9, and 10. What is the value of X?
20.31.The cash flow given in Problem 20.15 is to be replaced
by an equivalent cash flow with equal amounts (X) at
the end of years 5 through10. What is the value of X?
20.32.The cash flow given in Problem 20.16 is to be replaced
by an equivalent cash flow with equal amounts (X) at
the end of years 9 and 10. What is the value of X?
20.33.Solve Problem 20.1 using Excel.$5000
$2000
0 1 2 3 4 5 6 7 8 9 10
$7000 $7000
X
0123456 78 9 10
Problem 20.30
Problem 20.31
Problem 20.32
X
012345 6 7 8 9 10
$3000
$20000 1 2 3 4 5 6 7 8 9 10
$2000
$1000X
0123456 78 9 10
$3,000
$2,0000 1 2 3 4 5 6 7 8 9 10
$1,000
Initial investment $10,000,000
Income $3,000,000
Labor cost $400,000
Material cost $150,000
Maintenance cost $80,000
Utility cost $200,000Copyright 2010 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).圀圀圀⸀夀䄀娀䐀䄀一倀刀䔀匀匀⸀䌀伀䴀圀圀圀⸀夀䄀娀䐀䄀一倀刀䔀匀匀⸀䌀伀䴀