Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
A proposed steel mill may include a co-generation electrical plant. This plant will add $2.3M in first cost with net annual savings of $0.27M considering operating costs and electrical bills. The plant will have a $0.4M salvage value after 25 years. The firm uses an interest rate of 12% and present worth index (PWI) in its decision making. The public utility offers a subsidy for cogeneration facilities because it will not have to invest as much in new capacity. This subsidy is calculated as 20% of the co-generation facility's first cost, but it is paid annually. The utility calculates the subsidy using a benefit-cost ratio at 8% and a life of 20 years.
(a) Is the plant economically justifiable to the firm without the subsidy? What is the PWI?
(b) What is the annual subsidy?
(c) Is the plant economically justifiable to the firm with the subsidy? Now what is the PWI?
(d) How important is the difference in interest rates, and how does it affect these results?
(e) How important is the difference in horizons, and how does it affect these results?
In 1980, Stewie bought a Walkman for $29. If the price index was 25 in 1980 and the price index today is 129, then what is the price of the Walkman in today's dollars?
Steve Slacker is age 25, has an MBA degree, but is not working. Instead he is living at a major ski area, using the $2,000 per week he gets from his wealthy family. Construct a single income-leisure choice graph to show Steve’s situation before and a..
The Sarbanes-Oxley Act came about as a result of the Enron scandal. What did that company do? What can companies do to foster an ethical environment? Give examples of what YOUR company does to promote an ethical environment.
Given the current condition of the US economy, do you think US policy makers would prefer to see the $ rise in value, decline in value or stay at its current value? Discuss the advantages and disadvantages to the US economy at this time of a stronger..
A profit maximizing monopolist is earning a positive economic profit. The wage it pays its workers rises. How will the firm's choice of P and Q change in response to the wage increase. Use a diagram in answer. (Assume monopolist is still earning a po..
Elasticity: The New York Times reported (Feb. 17, 1996) that subway ridership declined after a fare increase: “There were nearly four million fewer riders in December 1995, the first full month after the price of a token increased 25 cents to $1.50, ..
A proximity sensor attached to the tip of an endoscope could reduce risks during eye surgery by alerting the surgeon to the location of critical retinal tissue. A certain eye surgeon expects that by using this technology, he will avoid lawsuits of $0..
For this milestone, submit a draft of your analysis as outlined in the Final Project Guidelines and Rubric document. Create a draft of the graphs, summaries, and tables developed in the Analysis critical element. You will be evaluated on your correct..
Under pressure by regulators and consumers, the company is considering lowering the price of the medicine by 10 percent. The company has hired you to analyze the effect of such a cut on its profits. How would you carry out the analysis? What infor..
Suppose that the pre-tax price of gasoline is $1 per gallon. A tax of $0.50 is imposed and is paid by consumers to the government. What must the gross price of gasoline be after the tax so that the consumer tax burden is equal to the producer tax bur..
What are the major arguments protectionists use to justify trade barriers? Which of these arguments do you agree with? Disagree with? Why is protectionism still so powerful politically?
Mining is proposed for a wilderness area that provides two benefits: recreation (due to backpacking opportunities) and biodiversity (there are endangered wildlife and plants). What is the present value of mining in the area (excluding effects on recr..
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd