(Solution) IE 451 Engineering Economy Exam #2 Due Tuesday, July 26, 2012 (11:59pm US Mountain Time) Name:_________________ Notes: If There Is No Justification... | Snapessays.com

(Solution) IE 451 Engineering Economy Exam #2 Due Tuesday, July 26, 2012 (11:59pm US Mountain Time) Name:_________________ Notes: If there is no justification...

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This is engineering economic problem.IE 451 Engineering Economy

Page 1 of 2

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Exam #2

Due Tuesday, July 26, 2012 (11:59pm US Mountain Time)

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Name:_________________

Notes:

a.

If there is no justification on your answer, you will get ZERO credit.

Thus, show

b.

Use the interpolation technique if the compound interest tables in Appendix B

of our text do not provide the value of interest factors.

c.

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(1)

If i = 6%, compute the value of D that is equivalent to the two disbursements shown.

200

200

100

D

D

D

D

D

D

D

D

(2)

Two mutually exclusive alternatives are being considered.

Year

A

B

-2500

-6000

1

+746

+1664

2

+746

+1664

3

+746

+1664

4

+746

+1664

5

+746

+1664

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