Dumps the aqueous based effluent

Assignment Help Managerial Economics
Reference no: EM13883527

Problem: An effluent disposal contractor is considering entering the recycled field. At present he incinereates and organic waste containing recoverable solvents and dumps the aqueous based effluent containing acids and metals. After marketing and technical studies he has four possible processes. Process A is solvent recovery by distillation, B is hydrochloric acid recovery, C is copper oxide recovery, and D is copper and nickel metal recovery. Either process C or D could be built. Details of the alternatives are tabulated below with the relevant data.

 

A

B

C

D

Capacity (ton/yr)

7000

5000

1000

1000

FCI ($)

240000

90000

150000

350000

OC (excluding Depreciation ($/ton )

170

10*

260*

670*

Average product value ($/ton)

200

25

300

800

Plant life

8

9

6

7

*These are reduced by 10% if the solvent recovery plant is not built as the heat from the incinerator may be utilized.

Which plant or plants should the contractor build? Comment on the validity of your conclusions and indicate what other factors may influence his decision.

ASSUME   No Salvage value

                   50% tax rate

                   No working capital

                   im = 0.2

USE   Straight-line depreciation

Reference no: EM13883527

Questions Cloud

Assignment on business intelligence and data warehouses : Business Intelligence and Data Warehouses
Summarise gmp requirements for clinical trial material : summarise GMP requirements for clinical trial material
Amazon recognize revenue for the entire sales price : 1.Assume that Amazon.com sells the MacBook Pro, a computer brand produced by Apple. Amazon arranges its operations such that customers receive products from Apple Stores rather than Amazon.
Stephen plans to purchase car seven years from now : Stephen plans to purchase a car 7 years from now. The car will cost $38,643 at that time. Assume that Stephen can earn 3.43 percent (compounded monthly) on his money. How much should he set aside today for the purchase?
Dumps the aqueous based effluent : An effluent disposal contractor is considering entering the recycled field. At present he incinereates and organic waste containing recoverable solvents and dumps the aqueous based effluent containing acids and metals.
What is the ethnic breakdown of your neighborhood : Incorporate statisitics/key dates into this. For example, in a paragraph about the people in your neighborhood, incorporate census info (how many people actually live there, for example? What's the ethnic breakdown of your neighborhood
Journal entries to show the proper recording of revenue : Create the journal entry or entries to show the proper recording of revenue (this may require more than on journal entry). Create the subsequent journal entry to show spending of the funds.
With the warrants attached the bonds : Thomson Engineering is issuing new 10-year bonds that have 20 warrants attached. If not for the attached warrants, the bonds would carry a 9% interest rate. However, with the warrants attached the bonds will pay a 7% annual coupon and still sell for ..
Planning operations master role placement : Planning Operations Master Role Placement

Reviews

Write a Review

Managerial Economics Questions & Answers

  Important aspects of managerial economics

Describe the most important aspects of Managerial Economics for you with respect to the content that was covered or activities in which you participated. Discuss the relevance and value or the practicum assignment with respect to your knowledge ac..

  Fit possible statistical cost functions to the data

Fit three possible statistical cost functions to the data. Use straight- line, quadratic, and cubic formulas and discuss statistical results. Include in your discussion R2, the coefficients, and the statistical significance of the coefficients.

  Estimating expected rate of return on the stock

Computing expected rate of return, required rate of return on a stock. Assume Walmart stock currently sells for $30 per share. The stock just paid a dividend of $0.75 per share.

  Economics for the global manager

Economics for the Global Manager

  Case - cost strcture and pricing

Run the appropriate regression to estimate the average variable cost function for Sting Rays and evaluate the statistical significance of the three estimated parameters using a significance level of 5 percent. Be sure to comment on the algebraic s..

  Calculate the output level to maximize profits

Sparkling Pipes, Corporation offers professional furnace duct cleaning to home owners in Danville, Illinois. The firm estimates that each additional room of ducts it cleans costs the company $10.

  Determining a market structure by concentration ratio

An industry has 20 companies and a concentration ratio of 30 percent. If you were in this industry and there was an increased demand for the product that pushed up price of the goods,

  Perspective of the vertical chain and production process

The objective is to understand the vertical boundaries a company or firm or organisation from the perspective of the vertical chain and the production process.

  B-c method for evaluations determine should be chosen

Determine which ones should be chosen Explain your recommendation - Using a B/C method for evaluations,

  Describe any sources of risk or uncertainty

Describe any sources of risk or uncertainty in its operations. Do the financial reports indicate risky or uncertain activities or changes to the economic environment that ultimately appear to have affected the company's financial outcomes? Be spec..

  Problem-based learning scenario - autoedge

Compare and contrast how production analysis is carried out and be able to evaluate production situations using economy of scale, elasticity and other analytic tools.

  Using a spreadsheet like the following entering formulas

using a spreadsheet like the following entering formulas for the total revenue and consumers surplus and given the

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd