engineering economics project
Instructions:
1. Project is worth 20 to 40% of your exam’s grade, depending on your performance on exam and project
2. You must do individual work, but you are welcome to discuss your project with your classmates
3. Please submit spreadsheet(s) copy of the project with results and description of what you are doing
4. Attach same spreadsheet(s) with formulas.
a. Copy your work (easiest way to do it is to right-click on “Sheet 1” at the bottom left of the page and select “Copy”
b. Paste your work to the new sheet by clicking on “+” directly to the right of Sheet 1. Sheet 2 will appear. Then right click on cell A1 of Sheet 2 and select “Paste”
c. Replace all = with ‘= signs in Sheet 2. That will allow me to see formulas you used. You can do that by selecting “Find and Select…” button on the top right (it has binoculars on it) and replacing as shown below:
d. Please widen all columns so I can see entire formulas
5. Please make sure to expand cells, so I can see all values and formulas. Make sure that I can understand what you are doing.
You need to meet lighting requirement in the specific room
You may choose from the following two lighting options:
Option 1: Option 2:
each lights output is 800 lumens each lights output is 1,100 lumens
initial cost per light: $18 initial cost per light: $35
light must be replace after 300 hours light must be replace after 350 hours
usage cost of the light 0.022 kW / hr usage cost of the light 0.025 kW / hr
Constraints:
1. You must have at least 4,000 lumens in total lighting
2. Since area was overwired, you have no wiring or maintenance costs
3. As each light burns out, you must replace with the same light
4. Cost of electricity is $0.11 per kWh and expected to be the same over the next 36 months
5. You only need the room for 36 months.
6. At the end of the period you will not remove lights
7. Lights must be on for 400 hours per month
8. Company MARR = 1% per month
Determine best combination of lighting to minimize costs
