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Imagine that as an engineering intern you have been assigned the task of selecti

ID: 2835074 • Letter: I

Question

Imagine that as an engineering intern you have been assigned the task of
selecting a motor for a pump. After reviewing motor catalogs you narrow your
choice to two motors that are rated at 1.5 kW. Additional information collected
is shown in an accompanying table. The pump is expected to run 4200 hours
every year. After checking with your electric utility company, you determine
the average cost of electricity is about 11 cents per kWh. Based on the
information given here, which one of the motors will you recommend to be
purchased (Assume an interest rate of 8% and no salvage value)?

http://tinypic.com/r/wrnfbp/8

Explanation / Answer

motor x= pv=$4037.18

motor y= pv=$3795.2

hence motor y is more efficient