What is the breakeven point in terms of hours of operation

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Reference no: EM132033791

Two different size pumps would be needed for different sized piping networks. Remembering 1 HP = 0.746 kW, if the MARR is 12%/yr and the cost of electricity is $0.06/kWhr,

a. What is the breakeven point in terms of hours of operation/yr?

b. using a sensitivity analysis of +25% on the cost of A, what is the new breakeven point?

	Pump A 6 in network	Pump 8 8 in network
Output HP	15	10
Pump Efficiency	0.60	0.75
Cost of Installation, $	2410	4820
Useful Life, years	8	8
Salvage Value, $	80	0

Reference no: EM132033791

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