Priceless food processing needs to replace a pump

Reference no: EM13692578

Priceless food processing needs to replace a pump. They have two options. One is to purchase a new pump with a brass impeller and bowl. The second is use a pump from their warhorse that has stainless steel impeller and bowl. the brass pump cost $6000 and will be worth nothing in 3 years. The stainless steel pump cost $130000 when it was purchased, but it has decreased to $7000 today and could be sold today for $4000. It will cost $500 to get the stainless steel pump ready to install. How much more expensive or cheaper would it be to use the stainless steel pump than the brass pump.

Reference no: EM13692578

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