Evaluate the new fixed-capital investment

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Question: If the process plant erected in the Delhi for a fixed-capital investment of 5 x 109 in 2010, estimate the fixed-capital investment in 2015 for a similar process plant located near Mumbai with twice the process capacity but with an equal number of process units. Use the power factor method to evaluate the new fixed-capital investment, and assume the six-tenth factors. Marshall and Swift all-industry index in the year 2010 = 915 Marshall and Swift all-industry index in the year 2015 = 1062

Reference no: EM133229570

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