econ. problems
Fyafee
ce_3360_3361_project_ii-3.docxCE 3360/3361 NAME:_______________
PROJECT II - FALL 2014
1. SHOW ALL WORK: YOU MUST ATTACH ALL PROJECT II SHEETS WITH YOUR
WORK
2. USE THE ANNUAL WORTH ANSWER KEY FOR THE FIRST LIFE CYCLE
OF COST AND REVENUE PROVIDED FOR PROJECT I B
3. IF YOU SEND PROJECT II BY E-MAIL MAKE SURE
- I CAN OPEN THE DOCUMENT
- THE DOCUMENT IS READIBLE
5. IF YOU USE A SPREAD SHEET
- PIECE TOGETHER AND SUBMIT SO THAT I CAN FOLLOW YOUR
ANSWERS
6. PAGE 3 MUST BE SIGNED AND SUBMITTED
1. CALCULATE THE CONVENTIONAL B/C RATIOS FOR ALTERNATE A.
IS ALTERNATE A ECONOMICALLY JUSTIFIED?
2. CALCULATE THE MODIFIED B/C RATIO FOR ALTERNATE A.
IS ALTERNATE A ECONOMICALLY JUSTIFIED?
4. PERFORM A LIFE CYCLE COST ANALYSIS ON ALTERNATE A.
5. PERFROM A LIFE CYCLES SAVINGS ANALYSIS ON ALTERNATE A.
6. PERFORM A BREAK-EVEN QUANTITY ANALYSIS TO CALCULATE THE NUMBER
OF PROJECTS THAT MUST BE UNDERTAKEN EACH YEAR TO JUSTIFY
ALTERNATIVE A. THE LABOR FOR ALTERNATE A IS $14.00 PER HOUR.
ALTERNATE A CAN PRODUCE 1 PROJECT/10 HR.
CE 3360/3361 -2-
PROJECT II - FALL 2014 NAME:_______________
6. USING THE MARCS FORMULA, DETERMINE THE DEPRECIATION SCHEDULE FOR
ALTERNATE A AND ALTERNATE B.
PROPOSAL INITIAL COST
ALTERNATE A $35,000
ALTERNATE B $70,000
CE 3360/3361 -3-
PROJECT II - FALL 2013 NAME:_______________
INTEREST ON 10.38%/YEAR
COST
INTEREST ON +1.5%
REVENUE
AW INITIAL -$11.1K/YR
COST
AW TECHNICAL -$0.7K/YR
SUPPORT
AW UPGRADES -$0.71K/YR
AW REVENUE +$4.9K/YR
AW SALVAGE +$.86K
PW SALVAGE +$3.2K
LIFE 4 YEARS
BY SIGNING THIS PAGE, I STIPULATE THAT I HAVE NOT GIVEN NOR RECEIVED ANY HELP IN COMPLETING THIS PROJECT______________________________
PROJECT II: DUE 3 DECEMBER 2014
C
E
3
360/
3
361
NAME:_______________
PROJECT II
-
FALL
201
4
1.
SHOW
ALL
WORK
:
YOU MUST ATTACH
ALL PROJECT II
SHEET
S WITH YOUR
WORK
2.
USE THE ANNUAL WORTH ANSWER KEY
FOR THE FIRST LIFE CYCLE
OF COST AND
REVENUE
PROVIDED FOR PROJECT I
B
3.
IF YOU SEND PROJECT II BY E
-
MAIL MAKE SURE
-
I CAN OPEN THE DOCUMENT
-
THE DOCUMENT IS READIBLE
5. IF YOU USE A SPREAD SHEET
-
PIECE TOGETHER
AND SUBMIT SO THAT I CAN FOLLOW YOUR
ANSWERS
6.
PAGE
3
MUST BE SIGNED AND SUBMITTED
1. CALCULATE THE CONVE
N
TIONAL B/C RATIO
S
FOR
ALTERNATE
A
.
IS
ALTERNATE
A
ECONOMICALLY JUSTIFIED?
2
. CALCULATE THE
MODIFIED
B/C RATIO
FOR
ALTERNATE
A
.
IS
ALTERNATE
A
ECONOMICALLY JUSTIFIED?
4
.
PERFORM A
LIFE CYCLE COST
ANALYSI
S
O
N
ALTERNATE
A
.
5. PERFROM A LIFE CYCLES SAVINGS ANALYSIS ON ALTERNATE A.
6
. PERFORM A BREAK
-
EVEN
QUANTITY
A
NALYSIS TO CALCULATE THE
NUMBER
OF
PROJECTS
THAT MUST BE
UNDERTAKEN
E
ACH
YEAR TO JUSTIFY
ALTERNATIVE
A
. THE
LABOR
FOR
ALTERNATE A
IS $
1
4.00
PER HOUR
.
ALT
ERNATE A CAN PRODUCE 1
PROJECT
/
10
HR.
CE 3360/3361 NAME:_______________
PROJECT II - FALL 2014
1. SHOW ALL WORK: YOU MUST ATTACH ALL PROJECT II SHEETS WITH YOUR
WORK
2. USE THE ANNUAL WORTH ANSWER KEY FOR THE FIRST LIFE CYCLE
OF COST AND REVENUE PROVIDED FOR PROJECT I B
3. IF YOU SEND PROJECT II BY E-MAIL MAKE SURE
- I CAN OPEN THE DOCUMENT
- THE DOCUMENT IS READIBLE
5. IF YOU USE A SPREAD SHEET
- PIECE TOGETHER AND SUBMIT SO THAT I CAN FOLLOW YOUR
ANSWERS
6. PAGE 3 MUST BE SIGNED AND SUBMITTED
1. CALCULATE THE CONVENTIONAL B/C RATIOS FOR ALTERNATE A.
IS ALTERNATE A ECONOMICALLY JUSTIFIED?
2. CALCULATE THE MODIFIED B/C RATIO FOR ALTERNATE A.
IS ALTERNATE A ECONOMICALLY JUSTIFIED?
4. PERFORM A LIFE CYCLE COST ANALYSIS ON ALTERNATE A.
5. PERFROM A LIFE CYCLES SAVINGS ANALYSIS ON ALTERNATE A.
6. PERFORM A BREAK-EVEN QUANTITY ANALYSIS TO CALCULATE THE NUMBER
OF PROJECTS THAT MUST BE UNDERTAKEN EACH YEAR TO JUSTIFY
ALTERNATIVE A. THE LABOR FOR ALTERNATE A IS $14.00 PER HOUR.
ALTERNATE A CAN PRODUCE 1 PROJECT/10 HR.
