First Cost 576934 Depreciation per year

Cumulated Deprecation @ Book Value

Useful life 9
Year
Salvage Value 20000
interest 20%
Book value 3
Book Value @ Specified year
compounded number 1
interest compounded 20%

Machine worth 701850 Depreciation per year

Cumulated Deprecation @ Book Value
Purchased years ago 12
Year
Useful life 20
Salvage Value 0
Sold value today 71136 New Capital needed
interest 22%
New Machine 1176834

compounded number 1
interest compounded 22%
First Cost 1105464 Depreciation per year

Useful life 12 Cumulated Deprecation @ Sold Year

Sold @ year 6
Salvage Value 110673
Sold value today 71136 Price/Book Value
interest 21%

Depreciation cost @ year of

Purchase cost 793016
depreciation
Delivery cost 50965
Taxed cost 79301.6
First Cost 923282.6
Useful life 7
Year of depreciation 3
Salvage Value 5000
interest 10%

First Cost 948365 Depreciation cost @ specified year

Useful life 11
Salvage Value 68838
Annual depreciation year 7
 Depreciation cost @ year of
First Cost 711898
depreciation
Salvage Value 60493
Useful life 14
Year of depreciation 5

Depreciation cost @ year of

First Cost 11317758
depreciation
Useful life 12
Salvage Value 0
Year of depreciation charge 6

First Cost 979564

Purchased years ago 6 Depreciation per year

Salvage Value 26184 Cumulated Depreciation @ Sold Year

Years from now 4 Price/Book Value @ Sold Year

Sold value today 95665
Interest 24% Sunk cost value lost
First Cost 1430233 Depreciation per year
Cumulated Deprecation @ Book Value
Useful life 12
Year
Salvage Value 0
interest 23%
Year of Book Value 6 Book Value @ Specified year

First Cost 1355486

Useful life 12 Book Value @ Specified year
Salvage Value 15511
Year of Book Value 8

Quiz 4
Option A
First Cost 204181 Present Value for Option A
Annual operating cost 61226
Salvage Value 10220
Useful life 4

Option B
First Cost 65000
Annual operating cost 20000 Present Value for Option B
Salvage Value 2500
Useful life 6

Interest 0.24
interest compounded 24%
cpd number 1

Option 1
First Cost 2000000000 Present Value for Option 1
Useful life 37

Annual maintenance cost (first) 5000000

Annual maintenance cost (first)

15
number of years

Annual maintenance cost (second) 10000000

Annual maintenance cost (second)
22
succeding number of years

Option 2
First Cost (Partial) 2.00E+09 Present Value for Option 2
Useful life of first cost 16
Additional Cost 3000000000
End of # year 16

Annual maintenance cost (first) 20000000

Annual maintenance cost (first)

16
number of years

Annual maintenance cost (second) 57549637

Annual maintenance cost (second)

16
succeding number of years

Useful life 37
Interest 0.2
interest compounded 20%
compounded number 1

Plan A
First Cost 2407790320 Present Value for Plan A
Useful life 20

Annual maintenance cost (first) 58265133

Annual maintenance cost (first)
10
number of years

Annual maintenance cost (second) 75952157

Annual maintenance cost (second)

10
succeding number of years

Plan B
First Cost (partial) 1.25E+09 Present Value for Plan B
Useful life of first cost 10
Additional Cost 1.50E+09
End of # year 10

Annual maintenance cost (first) 1.50E+06

Annual maintenance cost (first)

10
number of years

Annual maintenance cost (second) 3.00E+06

Annual maintenance cost (second)

10
succeding number of years

Interest 20%

Option 1
First Cost 2000000000 Present Value for Option 1
Useful life 30
Annual maintenance cost (first) 20365705
Annual maintenance cost (first)
15
number of years

Annual maintenance cost (second) 54398197

Annual maintenance cost (second)

15
succeding number of years

Option 2
First Cost (Partial) 1.25E+09 Present Value for Option 2
Useful life of first cost 15
Additional Cost 1.50E+09
End of # year 15
Annual maintenance cost (first) 1.50E+06
Annual maintenance cost (first)
15
number of years

Annual maintenance cost (second) 3.00E+06

Annual maintenance cost (second)

15
succeding number of years

Interest 0.21
interest compounded 21%
compounded number 1

Option 1
First Cost 1301044 Annual Equivalence Cost of Option 1
Useful life 10
Annual operating cost 142757
Salvage Value 96427

Option 2
First Cost 3000000 Annual Equivalence Cost of Option 2
Useful life 10
Annual operating cost 20,000
Salvage Value 300000

interest 0.22
interest compounded 22%
compounded number 1

Option 1
First Cost 2664375 Annual Cost of Option 1
Useful life 12
Annual operating cost 55075
Salvage Value 107640

Option 2
First Cost 3000000 Annual Cost of Option 1
Useful life 10
Annual operating cost 20000
Salvage Value 300000

interest 0.22
interest compounded 22%
compounded number 1
Option A
First Cost 209950 Annual Equivalence Cost of Option 1
Useful life 9
Annual operating cost 83543
Salvage Value 18207

Option 2
First Cost 65000 Annual Equivalence Cost of Option 2
Useful life 7
Annual operating cost 20,000
Salvage Value 2500

interest 0.23
interest compounded 23%
compounded number 1

Plan A
First Cost 1.00E+08 Present Value for Option 1
Useful life 40
Annual maintenance cost (first) 5.00E+06
Annual maintenance cost (first)
20
number of years

Annual maintenance cost (second) 1.00E+07

Annual maintenance cost (second)

20
next number of years

Plan 2
First Cost (Partial) 1.53E+08 Present Value for Option 2
Useful life of first cost 40
Additional Cost 5.00E+07
Life of pumping equipment 20
Annual maintenance cost (first) 7.57E+06
Annual maintenance cost (first)
10
number of years

Annual maintenance cost (second) 1.14E+07

Annual maintenance cost (second)

30
succeding number of years

Salvage Value of pumping

1.00E+07
equipment
Interest 0.2
interest compounded 20%
compounded number 1
 556934 20.79890176 3.64 Compounded number
26777.086907 Annually

97468.596342 Semi-annually

Quarterly
Monthly
Weekly
479465.40366 Daily

701850 237.98927325 44.8736972669 Compounded number

2949.0824961 Annually

132336.23514 Semi-annually

Quarterly
Monthly
973361.76486 Weekly
Daily
 994791 42.141584171 10.1829922701
23605.923213

240378.93361

865085.06639

10 918282.6 56

163979.03571 Compounded number

Annually
Semi-annually
Quarterly
Monthly
Weekly
Daily

284494.88556 0.1818181818

51726.34283
 20 651405 210

62038.571429

14 11317758 156

1015696.2308

953380 31.64343961 10.9800628224

30128.835921

330816.51118

648747.48882

553082.48882
 1430233 47.787668907 10.7079390943
29928.91331

320476.98088

1109756.0191

0.3110113567
68832.183108

1
2
3
4
5
6
7
 8
9
12 235803.57259 193961 773.3759702 2 10
116741.297538 11
555952.49416 12
13
14
15

12 235803.57259 62500 189.1819888 1

17192.9304511
317807.32105

Compounded number
Annually
Semi-annually
Quarterly
Monthly
Weekly
Daily

55.206143891
15.407021575 23377363.212 3186488.93084
2026563852.1
 18.48842589 18.48842589
0.0540878929 162263678.8 94591210.7068 14721885.66
2271576775.2

Compounded number

Annually

Semi-annually
Quarterly
Monthly
Weekly
Daily

6.1917364224
6.1917364224 244274943.66 51427786.3812
2703493050
6.1917364224 0.1615055829
6.1917364224 242258374.33 6288708.12833 2031322.9438
1500578405.4

17.449402269
17.449402269 91421790.045 13994398.0499
2105416188.1

17.449402269 17.449402269
0.0573085533 85962829.952 6733510.33356 771775.47171
1343468115.8

Compounded number

Annually 1

Semi-annually 2
Quarterly 4
Monthly 12
Weekly 52
Daily 365

7.3046314154 331629.58701 3364.81843302

471021.76858

7.3046314154 764684.94612 10468.4946115

774,216 Compounded number
Annually 1
Semi-annually 2
Quarterly 4
Monthly 12
Weekly 52
Daily 365

10.872213399
2556735 56976.250136 586162.5
698213.75014

7.3046314154
2700000 94216.451504 660000
774216.4515
Compounded number
Annually 1
Semi-annually 2
Quarterly 4
Monthly 12
Weekly 52
Daily 365
6.4438586147 57158.77078 769.235627963
139932.53515

4.2592759698 19536.908301 176.419550026

39,360 Compounded number
Annually 1
Semi-annually 2
Quarterly 4
Monthly 12
Weekly 52
Daily 365

38.337599924
38.337599924 24347898.667 1270183.77339
125618082.44
6.1917364224 237.3763138
0.0260840533 260840.53305 31737286.1983 9195851.74
243314738.41

Compounded number

Annually 1

Semi-annually 2

Quarterly 4
Monthly 12
Weekly 52
Daily 365
Compounded number
1

4
12
52
365

Compounded number
1

4
12
52
365
Compounded number

1
2
4
12
52
365
 82040.382 17192.930451
34700.915538 4729.5497199
14677.571092 1301.0371104
6208.2250514 357.89824885
2625.9152858 98.453115217
1110.6928359 27.083161002
469.79374485 7.450222456
 198.71035047 2.0494585045
84.049231857 0.5637791605
35.55060599 0.1550882543
15.036967719 0.0426627451
6.3602403359 0.0117359618
2.6902137376 0.0032284092
1.1378893834 0.000888093
0.4812971664 0.0002443027

Compounded number
1
2
4
12
52
365
Compounded number

2
4
12
52
365