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A mechanical engineer must recommend a new heating system to a commercial building owner. The owner intends to sell the building in 15 years. A gas fired furnace option has a design life of 5 years, an initial cost of $11,000, a replacement cost of $6,000 and annual operating costs of $3,500, but adds no value to the building when sold. A geothermal heat pump system has a design life of 10 years, an initial cost of $17,000, a replacement cost of $8,000, annual operating costs of $2,500, and increases the value of the building by $3,000, when it is sold at the end of year 15. Determine the equivalent uniform annual cost (EUAC) of costs for the option the engineer should recommend at an interest rate of 4.3%. Express your answer in $ to the nearest $10.
firms raise capital from investors by issuing shares in the primary markets. does this imply that corporate financial
1. One IKEA executive says that the current global economic situation has "pushed innovation" at the company. In fact, he say, "This is a great time to be more innovative." Explain what he means.
The demographic transition (transformation) is a theory which explains population growth patterns. Describe each stage and evaluate whether this is a good model to be used for all countries in the world.
You are the worksite wellness manager of a health care organization in tight economic times. You realize the organization must make budget cuts. The worksite wellness program seems to be a money pit, and the CFO is encouraging the organizational lead..
The Carter Construction Company (CCC) is trying to decide whether to build a high-priced or a moderately priced development in the Hagerstown area. Tim Carter, the CEO of the company, has assessed the value of the construction enterprise depends on t..
Which of the following is a list of nonrival private goods only? Economic theory suggests that college graduates receive higher wages than those with only a high school education because:
The supply of urban land increases in response to increases in demand. Most economists think rent should be abolished. Pierre-Joseph Proudhon and Henry George took similar stands on rent. Economic rent is the payment above the minimum necessary to at..
The inverse demand in a Cournot duopoly is P = a − b(Q1 + Q2), and costs are C1(Q1) = c1Q1 and C2(Q2) = c2Q2. The government has imposed a per-unit tax of $t on each unit sold by each firm. The equilibrium output of each firm is the same as a situati..
A researcher posed a null hypothesis that there was no significant difference between boys and girls on a standard memory test. She randomly sampled 100 girls and 100 boys in a community and gave them the standard memory test. The mean score for g..
In 2010 in the country of Arlandia government debt was zero. You know that the government revenue for 2011 was $344, for 2012 was $360, for 2013 was $380. The government outlays for 2011 were $197 and for 2012 were $237. If you know that government d..
Why might consumers’ price elasticity for ice cream cones once they are in an ice cream store be .20 and their longer-term price elasticity be 1.2?
What will happen to the domestic trade balance following a devaluation of the domestic currency? Explain carefully the effects during the pass-through period, and be sure to explain why these effects occur.
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