In: Economics
a water pumping company wants to purchase an electric
motor rated at 15 Hp for 1000$( 1 HP= 0.7457kw ). the service life
of motor is known to be 10 years with negligible salvage value.its
full load efficiency is 85%. the cost of energy is 0.08$ per kWhr.
the intended of the motor is 4000 hours per year .Determine the
present worth
for the total cost of owning and operating the motor at 10%
interest rate
A-19,695 $
B- 26,875 $
C- 2,725 $
D- 22,994 $
could anyone solve this problem please ?
Correct option is A-19,695 $
efficiency = 85%
KWatt output = 15 * 0.7457 * 0.85 = 9.5077
The present worth for the total cost of owning and operating the motor is $19695 approx.
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