What is the pw of the slurry pipeline

Assignment Help Microeconomics

Reference no: EM132158744

Question: Western Coal is considering a modification of its plans for the open-pit mine described in Problem 5.31. Adding a coal-slurry pipeline (its life is also 20 years) will increase the first cost by $4M, increase annual net revenues by $750K, and increase closure costs by $1M. If the interest rate is 15%, what is the PW of the slurry pipeline?

Reference no: EM132158744

Questions Cloud

How large must the salvage value be : A common standard of significant change is 10%. A project's first cost is $20,000, the expected life is 15 years, and the interest rate is 8%.

Determine the amount invade should be willing to pay : The industrial engineering department for Invade Air Fresheners has found that a new packing machine should save $45,000 for each of the next 8 years.

What is the pw of the mine : Western Coal, Inc., is considering an open-pit mine. The rights to mine on public land are expected to cost $25M, and development of the infrastructure.

What is the socially optimal level of police provision : what is the socially optimal level of police provision

What is the pw of the slurry pipeline : Western Coal is considering a modification of its plans for the open-pit mine described in Problem 5.31. Adding a coal-slurry pipeline.

Describes the actual of government action : What is an issue that might not be normal but describes the actual of government action?

What is the pw of the facility : Mid Central Light and Power is planning a nuclear facility. Expected first costs are $1.2B, and the annual net revenue is estimated to be $75M.

Would you choose to handle the situation differently : Through our lesson, we learned that tragic events detract people from their normal ethical stance. Why do you think this is the case?

What is the pw of the research park : Baker and Sons specializes in land development and construction management. It is considering whether to develop a research park near a major engineering.

User Account

All Pages