What is the breakeven point in terms of hours of operation

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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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