Engineering Economy class. Please, when answering this problem,it will be more than appreciated if you can present the wholeprocess (equations) before solving. Just to understand bettereverything. Example: Present Value = 20,000(P/F, i, n)+45,000(A/F,i, n)(P/F, i, n)… Thanks in advance!

There are two manufacturing processes that can be used by acompany to reduce energy losses in the equipment’s. The followingcost information for these two processes is known:


Process A

Process B

Initial Cost



Operation and Maintenance Cost

$7,000 quarterly

$5,000 quarterly

Useful Life (Life Cycle)

2 years

4 years

Residual Value



By doing the following analysis, select which manufacturingprocess must be selected (A or B):

a) Find the Present Value with an interest rate of 12% annuallycomputed quarterly.

b) Quarterly equivalent uniform value with an interest rate of8% annually computed quarterly

c) Capitalized Cost with an interest rate of 14% annuallycomputed quarterly

d) Which manufacturing process must be selected is an online academic writing platform that provides extensive assistance to graduate school students as they work through their research projects, papers and dissertations. gives students access to experienced professionals who can provide the help they need in a timely and efficient manner. The service offers a wide range of services, including editing, proofreading, formatting, researching and more that can give students the confidence they need to write the perfect paper or dissertation for their chosen subject matter.

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